S&P rates Viesgo Generacion CCR, debt B+

Standard & Poor's said it assigned its B+ long-term corporate credit rating to Viesgo Generacion SLU (formerly E.ON Generacion).

The outlook is positive.

At the same time, the agency assigned its B+ issue rating and 3 recovery rating to the group's senior secured debt, comprising a €275 million loan and a €40 million loan, which consists of a €20 million revolving credit facility and a €20 million guarantee facility. The recovery rating reflects the expectation of a meaningful recovery (at the lower half of the 30%-50% range) in the event of a payment default.

These ratings are in line with the preliminary ratings assigned on March 10.

The outlook on the current long-term corporate credit rating is positive, versus the stable outlook on the equivalent preliminary rating.

S&P said the long-term rating on Viesgo Generacion reflects the assessment of its "weak" business risk profile and its "aggressive" financial risk profile.

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