S&P gives Grupo Bimbo notes BBB

S&P said it assigned a global scale BBB issue-level rating to Grupo Bimbo SAB de CV's (BBB/stable/--) proposed senior unsecured notes for up to $650 million due 2047.

Proceeds are expected to be used for general corporate purposes, including the repayment of existing debt related to East Balt Bakeries' acquisition.

“We expect the proposed transaction to improve Bimbo's debt maturity profile, further supporting our strong liquidity assessment on the company,” the agency said in a news release.

“The rating on the notes is at the same level as the corporate credit rating, given that Bimbo's most important subsidiaries irrevocably and unconditionally guarantee the company's debt instruments on a senior unsecured basis.”

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