Fitch alters Albemarle outlook to stable

Fitch Ratings said it revised the outlook for Albemarle Corp. to stable from negative and affirmed its BBB ratings.

The rating actions follow Albemarle’s withdrawal from its non-binding proposal to buy Liontown Resources Ltd. for $4.3 billion.

“The stabilization of the outlook reflects Fitch's belief that Albemarle's withdrawal of its $4.3 billion bid to acquire Liontown will lead to EBITDA leverage durably below 3x. Fitch notes that although Liontown's Kathleen Valley project will likely develop into a strong and productive asset, the fact that Albemarle no longer needs to issue debt in order to complete the transaction and await production is beneficial from a credit perspective,” the agency said in a press release.

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