Moody’s downgrades Uralkali

Moody’s Investors Service said it downgraded Uralkali PJSC’s corporate family rating to Ba2 from Ba1, probability of default rating to Ba2-PD from Ba1-PD and senior unsecured rating of its subsidiary Uralkali Finance Ltd. to Ba2 from Ba1.

The outlook is stable.

The downgrades also consider the increased corporate governance risks following two share buybacks in June and September 2015 and the company’s shift toward a more aggressive financial policy, Moody’s said.

Following the buybacks, the agency said it expects the company’s de-leveraging to slow down to about 3x adjusted debt-to-EBITDA ratio over the next 1- to 2-years.

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