Fitch downgrades Flender

Fitch Ratings said it downgraded Flender International GmbH's senior secured term loan rating to B+/RR3 from BB-/RR3 and long-term issuer default rating to B from B+.

“The downgrade reflects the ongoing challenging wind market environment and expected pressure of EBIT and EBITDA profitability. Together with higher capex this will lead to negative free cash flow (FCF) accompanied with EBITDA leverage metrics above our negative sensitivity of 6x in the financial year ending September 2023 (FY23) and FY24.

“The IDR is supported by the group's solid market position, strong underlying demand in the wind industry, which should enable recovery of profitability in the medium term, and Flender's good liquidity position,” Fitch said in a statement.

The outlook is negative.

© 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.