CFR's ratings were placed on Rating Watch Negative on
KEY RATING DRIVERS
The removal of the ratings from Rating Watch Negative is a result of CFR and Adcock Ingram's mutual agreement to enter into a 'Termination Agreement' after several months of negotiation. CFR had faced opposition from
CFR will continue to focus on growing its business both organically and inorganically. Management has signaled that they are currently searching for opportunities.
CFR's ratings continue to reflect a rapid pace of acquisitions, increasing size of acquisition targets, and improved credit metrics due to its consolidation of recent acquisition, Lafrancol. As of
Ratings could experience downward pressure if a material acquisition increases leverage above 2.5x-3.0x net debt to EBITDA on a sustained basis, and management is unable to quickly obtain synergies to return its capital structure to targeted leverage levels below 2.5x.
Fitch removes from Rating Watch Negative and affirms CFR's ratings as follows:
--Foreign and local currency Issuer Default Rating at 'BBB-';
--Senior unsecured notes of CFR International SpA at 'BBB-';
--Long-term national rating at 'A(cl)';
--Senior unsecured national debt at 'A(cl)';
--National Equity Rating Primera Clase Nivel at '3(cl)'.
The Rating Outlook is Stable.
Additional information is available at www.fitchratings.com.
--'Corporate Rating Methodology' (
--'National Scale Ratings Criteria' (
--'Parent and Subsidiary Rating Linkage' (
Corporate Rating Methodology: Including Short-Term Ratings and Parent and Subsidiary Linkage
National Scale Ratings Criteria
Monica Coeymans, +56-2-499-3314
Source: Fitch Ratings
Most Popular Stories
- Major Phone Makers Sign Anti-Phone-Theft Pledge
- College Board Offers a Sneak Peak at New SAT
- 'Beige Book' Federal Reserve Survey, April 2014: Full Text
- Salsa Legend Cheo Feliciano Killed in Car Crash
- Miss. Gov. Signs Bills to Curb Unions
- New Auto Plant to Create 155 Jobs in Kentucky
- Google Q1 Earnings Dip as Ad Prices Slip
- Generating Solar Power in the Dark
- Earthlike Planet Found in Red Dwarf's Goldilocks Zone
- Hiring and Weekly Jobless Claims Both Edge Up