S&P rates Desarrolladora Homex, notes BB-

Standard & Poor's said it assigned its BB- corporate credit rating to Desarrolladora Homex SA de CV (Homex).

At the same time, S&P said it assigned its BB- rating to Homex's $200 million notes due 2015. The outlook is stable.

The agency said the ratings assigned to Homex and its proposed issue are constrained by the company's aggressive growth plans, the expectation that the aforementioned plans could demand additional indebtedness and high working capital requirements that have not allowed free operating cash flow generation up to now.

Positive factors supporting the rating include Homex's position as one of the leading homebuilders in Mexico, an improved geographical diversification, a manageable maturity schedule following the refinancing and the favorable trend in Homex's financial performance over the past couple of years, S&P added.

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