Moody's: Gibson Energy unchanged after add-on

Moody's Investors Service said Gibson Energy Inc.'s Ba2 corporate family rating is unchanged following the anticipated C$250 million add-on to its Ba2-rated C$350 million 5¼% unsecured notes due 2024.

All other ratings, including the company's stable outlook, also are unchanged.

The proceeds from the issuance will be used to redeem the $211 million senior unsecured notes due 2021.

This is a credit positive move for Gibson because it will somewhat lower its interest burden, push out the nearest term maturity by three years and closely match its Canadian currency cash flow to debt, Moody's said.

The debt transaction will be leverage neutral to Gibson, the agency said.

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