Unverified50% confidenceFactExact time
Rating agencies also examine refinancing capability; if a company relies on continuous external financing to sustain operations, refinancing risk will be magnified and the rating will be downgraded accordingly.
1
Sources
50%
Confidence
Long-term
Relevance
10/16/2026
First Seen
Sources
Related Entities
Related Claims
UnverifiedOnce a rating is downgraded, a company's financing costs rise immediately, and some conservative institutional investors (such as pension funds and insurance companies) may be forced to reduce holdings or be barred from buying due to internal risk-control rules.72% similarUnverifiedAn excessively high valuation can create a 'valuation trap' in the next financing round, while excessive dilution can undermine the founding team's control and incentives.71% similarUnverifiedThe incentive effect of asset securitization may prompt banks to relax risk review at the underwriting stage, because the risk is ultimately not borne by the bank itself over the long term.71% similarUnverifiedWhen customer concentration risk is high, institutional investors often demand lower issuance pricing as compensation.70% similar
Cite This Claim
Stable URI
https://kongchang.com/claim/1048291API
curl https://kongchang.com/api/v1/knowledge/claims/1048291MCP
get_claim(id=1048291)