Fitch rates Viterra notes BBB-

Fitch Ratings said it assigned Viterra Finance BV's dual-tranche issue of planned €1 billion senior unsecured notes an expected BBB- rating. Viterra Finance is a subsidiary of Netherlands-based agricultural commodity trader Viterra Ltd.

“The notes are rated in line with Viterra's issuer default rating (IDR) of BBB-, despite the presence of secured debt in the group's capital structure. We estimate that prior-ranking debt is limited and not sufficient to indicate a material possibility of subordination and lower recoveries for unsecured notes. We also assume that the amount of prior-ranking debt will not increase over 2021-2024,” Fitch said in a press release.

The proceeds are expected to be used to refinance bank debt and will not increase leverage.

The outlook is stable.

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