S&P affirms Autopista Mexico-Toluca

Standard & Poor's said it affirmed the BBB+ global scale senior secured debt rating on Autopista Mexico-Toluca's MXN 4.2 billion fixed-rate bonds due 2028 with Nacional Financiera SNC as trustee.

The agency also said it affirmed the mxAAA Mexican national scale rating on the issue and mxA national scale rating on the company's MXN 2.67 million subordinated debt due 2030.

The outlook is stable.

The ratings reflect the company's strong debt service coverage ratios for its rating category and its zero-cash-flow structure in which the trust will use excess cash to prepay senior debt, S&P said.

The ratings also consider that the debt is denominated in inflation-protected units, which generates mismatch risk during a period of high inflation because revenues are generated in pesos, the agency said.

Another weakness includes the lack of a debt service coverage ratio for the subordinated debt, S&P 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.