ACRA ASSIGNS BBB+(RU) TO THE SERIES 001P-01 (RU000A10B3B4) BOND ISSUE OF LLC “RSG FINANCE”

Credit rating rationale. The bond issue of LLC “RGS Finance” represents senior unsecured debt of KORTROS LLC (hereinafter, the Company, or KORTROS). Due to the absence of either structural or contractual subordination of the issue, ACRA regards it as equal to other existing and future unsecured and unsubordinated debt obligations of the Company in terms of priority. As per ACRA’s methodology, the recovery rate on the unsecured debt belongs to category I, therefore credit rating of this issue is set at BBB+(RU), i.e. on par with the credit rating of the Company.

The Company’s credit rating is based on the medium assessment of the operational risk profile. The high assessment of the financial risk profile reflects the low leverage, high debt service metrics, and medium assessment of the Company’s business size. In ACRA’s opinion, the Group has a very high profitability and high liquidity coupled with medium free cash flow (FCF). The credit rating is supported by the high likelihood of support being provided by the key shareholders. The rating is constrained by the very high industry risk of the residential construction sector.

KORTROS is a residential real estate developer with a wide geography of presence and high diversification of project formats. The Company was established in 2005 to carry out comprehensive development in Yekaterinburg as part of the Akademichesky project. According to the Unified Register of Developers, as of March 2025, the volume of Company’s projects under construction was 393,800 sq. m.

KEY ISSUE PROPERTIES

Sources: ACRA, issuer

regulatory disclosure

The credit rating has been assigned to the series 001P-01 (RU000A10B3B4) bond issue of LLC “RGS Finance” under the national scale for the Russian Federation based on the Methodology for Assigning Credit Ratings to Financial Instruments under the National Scale of the Russian Federation and the Key Concepts Used by the Analytical Credit Rating Agency within the Scope of Its Rating Activities.

The credit rating has been assigned to the series 001P-01 (RU000A10B3B4) bond issue of LLC “RGS Finance” for the first time. The credit rating is expected to be revised within one year following the publication date of this press release.

The credit rating was assigned based on data provided by LLC “RSG-Finance” and KORTROS LLC, information from publicly available sources, and ACRA’s own databases. The credit rating is solicited and LLC “RSG-Finance” and KORTROS LLC participated in its assignment.

In assigning the credit rating, ACRA used only information, the quality and reliability of which were, in ACRA’s opinion, appropriate and sufficient to apply the methodologies.

ACRA provided no additional services to LLC “RSG-Finance” and KORTROS LLC. No conflicts of interest were discovered in the course of credit rating assignment.