Fitch rates Lafarge bond BBB-

Fitch Ratings said it assigned Lafarge SA's €750 million 7.625% bond, maturing in November 2016 a senior unsecured rating of BBB-. The bond has been issued under Lafarge's €9 billion euro medium-term note program. The rating is in line with Lafarge's long-term issuer default rating of BBB-, which has a negative outlook. Lafarge's senior unsecured rating is BBB- and its short-term issuer default rating is F3.

The net proceeds of the bond will be used for refinancing existing debt. The bond is unsecured and ranks equally with Lafarge's other existing and future unsecured and unsubordinated debt, Fitch said.

The ratings continue to reflect its strong business profile, including its solid position in the international building materials industry and its leading global position in both the high-margin cement sector and its complementary product portfolio, the agency said.

The group's position is supported by its geographical diversification and established presence in mature markets, Fitch said, and its increased exposure to fast-growing emerging markets.

© 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.