Fitch upgrades Amil

Fitch Ratings said it upgraded Amil Participacoes SA's national scale rating to AAA(bra) from AA(bra), along with its R$900 million debentures issuance due 2015 to AAA(bra) from AA(bra) and R$300 million debentures issuance due 2014 to AAA(bra) from AA(bra).

The outlook is stable.

The upgrade follows news that Amil has concluded the transfer of its direct controlling shareholder, representing 58.9% of its total and voting capital, to UnitedHealth Group Inc., the largest health benefits and services company in the United States.

The upgrade reflects the strengthening in Amil's business and financial profile regarding the stronger financial support, valuable business expertise and access to modern technology through the new shareholder, UnitedHealth, Fitch said.

The agency said it believes that the support of UnitedHealth will probably lower Amil's cost of funding and provide larger financial flexibility for the company to continue with its acquisition strategy in the country and abroad.

So far, Amil has operated its businesses under profitable basis and a solid capital structure, Fitch said.

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