Moody's boosts Rexel

Moody's Investors Service said it upgraded Rexel SA's senior unsecured notes due 2028 to Ba1 from Ba3, its corporate family rating to Ba1 from Ba2 and the probability of default rating to Ba1-PD from Ba2-PD. The outlook has been changed to stable from positive.

“The rating action reflects the strong improvement in Rexel's credit metrics including the reduction of Moody's adjusted gross leverage to 2.6x in the LTM ending June 2022 (3x in 2021) on the back of solid demand and the company's ability to pass through cost inflation and the rating agency's expectation that credit metrics will remain in line with the levels commensurate with a Ba1 CFR on a sustained basis,” the agency said in a press release.

The outlook reflects the view that Rexel's credit metrics will stay in line with the levels required by the current rating over the next 12 to 18 months, including Moody's-adjusted debt/EBITDA of around 3x and Moody's-adjusted retained cash flow (RCF)/debt of around 20%.

© 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.