Fitch: EPM unchanged

Fitch Ratings said the ratings of Empresas Publicas de Medellin ESP are expected to remain unchanged following the announcement that the company acquired a controlling interest in Empresa Electrica de Guatemala SA and other electric companies in Guatemala for $635 million.

The company has BBB- long-term local- and foreign-currency issuer default ratings and an AAA(col) national long-term rating.

The acquisition is expected to be financed with a combination of short-term bank financing and existing cash on hand. Fitch expects that EPM's pro forma financial leverage will increase to 1.7 times from 1.6 times and that the company's financial profile will be affected only marginally by this transaction and will remain strong for the rating category.

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