Moody's lowers Axtel

Moody's Investors Service said it downgraded Axtel, SAB de CV's corporate family rating to Caa1 from B3 and its global notes to Caa2.

The outlook remains negative.

Moody's said the downgrade of the corporate family rating is because of the company's higher probability of default due to its tight liquidity position and a limited covenant cushion in a new credit facility.

The agency said the downgrade of the global notes is based on a higher proportion of senior debt in the company's capital structure.

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