S&P rates Masisa notes BB-

Standard & Poor's said it assigned a preliminary BB- rating to Masisa SA.

The agency also said it assigned a preliminary BB- rating to the company's proposed $300 million notes.

The outlook is stable.

The ratings reflect the company's fair business risk profile and aggressive financial risk profile, S&P said.

The company's business risk profile incorporates its exposure to Argentina and Venezuela as operations in these countries contribute about 50% of Masisa's consolidated EBITDA, the agency said.

Mitigating factors include Masisa's solid position in the markets in which it operates and its vertically integrated business model, which allows the company to reduce its dependence on retailers and results in less volatile operating profitability, S&P said.

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