Moody’s gives Redexis bonds Baa3

Moody's Investors Service said it changed the outlook to negative from stable on the Baa3 senior unsecured ratings of Redexis Gas SA and Redexis Gas Finance BV.

At the same time, the agency affirmed the existing ratings and assigned a Baa3 senior unsecured rating to the €250 million eurobond due 2027, a tap of the existing €250 million 2027 bonds, issued by Redexis Gas Finance and guaranteed by Redexis.

Moody’s said the action follows the issuance and the company's statement that it will use some of the proceeds to fund a special dividend.

The affirmation of the Baa3 ratings reflects the generally low business risk profile of Redexis' regulated businesses which contribute over 90% of revenues, as well as its young asset base and diversified network operations, balanced between both urban and rural areas and domestic and industrial customers, the agency explained.

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