S&P changes PTT Chemical view to negative

S&P said it changed the outlook on PTT Global Chemical PCL to negative from stable and affirmed the BBB+ ratings on the company and its $1 billion of senior unsecured notes sold by the company and its subsidiary GC Treasury Center Co. Ltd.

Global Chemical is a subsidiary of PTT PCL. S&P revised PTT’s local currency rating to negative.

“Our negative outlook on GC mirrors that on the local currency rating on PTT. It reflects our view that low hydrocarbon prices stemming from dampened demand will hurt the earnings of PTT and its subsidiaries. Lower earnings will weigh on PTT's consolidated balance sheet in 2020-2022 unless the group defers uncommitted capital expenditure (capex) to keep its debt-to-EBITDA ratio below 2x throughout the period,” said S&P in a press release.

© 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.