S&P: CEZ unaffected

Standard & Poor's said that the potential buyback by Czech Republic-based electricity utility CEZ a.s. (BBB+/stable/--) of up to 10% of its own shares will have no ratings implications given the assumed purchase price.

The share buyback would, however, reduce the possibility of CEZ accomplishing further debt-funded growth acquisitions without a negative impact on the credit rating.

S&P said CEZ's financial profile is strong for the rating, which incorporates a degree of debt-funded expansion by the company. The share buyback offer is expected to be extended to all shareholders.

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