Fitch rates Mitra Pinasthika Mustika notes BB-

Fitch Ratings said it assigned a final rating of BB- to PT Mitra Pinasthika Mustika Tbk.’s $200 million 6¾% senior notes due 2019.

The notes are issued by MPM Global Pte. Ltd. and are guaranteed by Mitra Pinasthika and its subsidiaries, excluding the financing and insurance subsidiaries, Fitch said.

The final rating follows receipt of documents conforming to information already received and is in line with the expected rating assigned Sept. 7, the agency said.

The proceeds will be used for the repayment of certain bank loans under Mitra Pinasthika’s rental services business, Fitch said, and capital expenditure purposes.

The company has a sound financial profile, the agency said. Leverage, as measured by the ratio of net debt-to-operating EBITDA, is low at 1.6x, Fitch said.

The agency said it expects the company to continue to benefit from its relationship with Honda and Honda’s status as the leading motorcycle brand in Indonesia with good brand awareness, high resale value and attractive models.

© 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.