Fitch: Rexel on watch

Fitch Ratings said it placed Rexel SA's long-term issuer default rating of BB and senior secured ratings of BB+ on rating watch negative.

The agency said that this rating action follows the joint announcement by Rexel, Hagemeyer and Sonepar that they will be entering exclusive negotiations for the finalization of a recommended offer for Hagemeyer by Rexel of €4.85 per share and confirmation of Hagemeyer's Management and Supervisory Boards supporting this offer.

"The increased offer for Hagemeyer reflects Rexel's willingness to act as a consolidator in its core European region, offsetting to some extent the current downturn in the US residential construction market," said Pablo Mazzini, director in Fitch's leveraged finance team.

© 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.