Moody's rates Psalm bonds B1

Moody's Investors Service said it assigned a B1 rating to the proposed dollar-denominated senior unsecured bonds to be issued by Power Sector Assets & Liabilities Management Corp. The bonds will be irrevocably and unconditionally guaranteed by the Philippine government.

The outlook is positive.

The rating is based on the guarantee provided by the Philippine government, Moody's said. The proceeds will be used for general corporate funding requirements, including servicing payments arising under contracts with independent power producers.

The company performs a crucial role as mandated by law to deregulate the Philippine electricity industry to a competitive and market-driven sector, Moody's said.

Any rating upgrade or downgrade of the bonds will be closely linked to any changes in the rating of the Philippine government, 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.