Fitch: Inversiones notes BBB+

Fitch Ratings said it assigned an expected rating of BBB+ to the proposed note issuance by Inversiones CMPC SA.

These notes will be fully and unconditionally guaranteed by Empresas CMPC. Both Inversiones CMPC and Empresas CMPC have foreign-currency issuer default ratings of BBB+.

The outlook is stable.

The proceeds will be used for general corporate purposes, including the expansion of the company's pulp mill in Brazil, Fitch said.

The ratings reflect the company's strong business positions within Latin America. Empresas CMPC is the leading tissue producer in Chile, Peru, Argentina and Uruguay and has a growing presence in several other markets in Latin America, the agency said.

The company's strong market position in tissue, which accounted for 23% of its 2012 EBITDA, is due to the strong brand equity of its products, low production cost structure and strong distribution network, Fitch said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.