Moody's rates Arkema notes Ba1

Moody's Investors Service said it assigned a Ba1 long-term rating to the proposed issuance of undated deeply subordinated fixed-rate resettable notes (hybrid) issued by Arkema under its €3 billion euro medium-term note program.

The outlook is positive.

The size and completion of the hybrids are subject to market conditions, Moody's noted.

The rating is two notches lower than Arkema's Baa2 senior unsecured issuer rating, the agency said.

This reflects the deeply subordinated position of the proposed hybrid securities in relation to the existing senior unsecured obligations of Arkema, Moody's said.

The proceeds from the transaction are intended to refinance an existing hybrid instrument, hence the proposed issuance has no impact on Arkema's Baa2 senior unsecured issuer rating, 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.