S&P trims Granvia

S&P said it lowered the rating on Granvia AS’ bonds to BBB+ from A-.

The agency cited than higher than expected maintenance costs for the downgrade.

“Granvia now expects it will also spend more than originally budgeted next year and cumulatively over the remaining tenor of the bonds. In our experience it is unusual for greenfield road projects to underestimate heavy maintenance expenditure in the early years of their operation to such an extent,” said S&P in a press release.

The outlook is stable.

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