S&P upgrades Grupo Cementos

Standard & Poor’s said it raised the long-term corporate credit rating on Grupo Cementos de Chihuahua SAB de CV to BB- from B+.

The agency also raised the long-term rating on the $260 million senior secured notes due 2020 to BB- from B+. The recovery rating of 3H is unchanged and indicates 50% to 70% expected default recovery.

The outlook is stable.

The upgrades reflect the company’s continued improvement in operating performance and credit metrics over the past few quarters as a result of better market conditions in the residential and non-residential construction sector in both the United States and Mexico, S&P said.

The company’s recent liability management reflects its prudent financial policy and will provide greater financial flexibility to the company, the agency added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.