S&P affirms Empresas ICA

Standard & Poor's said it affirmed its BB- long-term corporate credit rating on Empresas ICA SAB de CV.

The outlook is stable.

The agency said that its ratings on Empresas ICA consider the company's position as the largest engineering, construction and procurement player in Mexico.

The ratings also benefit from the company's investments in concessions, particularly airports, from a financial policy that favors project debt over corporate debt and from S&P's expectation that the company's foray into the homebuilding segment and other investments, will not lead to a significant increase in its consolidated debt leverage.

The ratings are constrained by the inherent cyclicality of the construction industry and the company's dependence on Mexican government spending in infrastructure to sustain its backlog, which is short relative to those of other rated issuers, S&P noted.

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