Fitch: Saint-Gobain on watch

Fitch Ratings said it placed Compagnie de Saint-Gobain SA's senior unsecured A and short-term F1 ratings on Rating Watch negative.

This action follows the announcement by Saint-Gobain of a cash offer for the entire share capital of BPB plc, which values the company at £3.7 billion, the agency added.

Fitch said this indicates a more aggressive acquisition strategy leading to a more leveraged financial structure than seen in the past three years and represents a step change from the company's strategy of medium-sized acquisitions financed by cash flow.

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