Moody's may cut Posadas

Moody's Investors Service said it placed the Ba3 long-term debt ratings of Grupo Posadas, SA de CV on review for possible downgrade following the company's announcement that it will be acquiring 100% of Grupo Mexicana SA de CV stock for $165.5 million.

The company stated it intends to fund the purchase with a mix of cash, additional bank loans and possibly with contributions from new investors and expects to complete the transaction before year end, Moody's noted.

Affected ratings include Posadas' Ba3 corporate family rating and Ba3 senior unsecured regular bond/debenture rating.

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