Fitch: No change for Noble

Fitch Ratings said that Noble Group Ltd.'s $650 million share placement to China Investment Corp. further builds up its permanent capital base, thereby enhancing its financial flexibility to meet its growth plans and reduce debt. The company has a BBB- rating with a stable view.

The investment also provides Noble with a strong partner to further expand its agricultural operations on a global basis, the agency said.

These positive developments, however, do not immediately impact Noble's rating, Fitch said. The rating continues to reflect its sustained track record of profit growth and balance sheet resilience, the agency said.

The rating is constrained by the inherent volatility of commodity markets, which causes the fluctuation in gross profits of its individual product segments and overall working capital needs, resulting in movements in financial leverage, the agency 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.