Fitch lifts Vinci view to positive

Fitch Ratings said it revised the outlook on Vinci SA's long-term issuer default rating to positive from stable and affirmed the issuer default and senior unsecured ratings at A-.

The ratings consider Vinci's recurring, strong and resilient cash flows, which make up an increasing majority of group EBITDA, Fitch said.

The company also has best-in-class contracting activities, substantial balance sheet flexibility and well established and regular access to bank and capital markets, the agency said.

The group's projected leverage profile of an average 2.4x between 2019 through 2021 would be consistent with an A rating, but does not factor in any potential major acquisitions, Fitch noted.

Vinci is acquisitive and has publicly stated its interest in the upcoming privatization of Aeroport de Paris, the agency said.

The positive outlook reflects the group's significant financial flexibility, but also the limited visibility of its potential re-leveraging should it make a major acquisition in the concession business, Fitch explained.

© 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.