Fitch rates Tortoise issue AA

Fitch Ratings said it assigned an AA rating to Tortoise Energy Capital Corp.'s $50 million of 3.95% series C mandatory redeemable preferred shares due May 1, 2018 and affirmed its $39.4 million of 6.07% series D senior notes due 2014 and $34.7 million of 6.02% series F senior notes due 2013 at AAA.

The company will use the proceeds as well as borrowings under its credit facility or other working capital to redeem all $50 million of its outstanding 5% series B mandatory redeemable preferreds and may also use proceeds to invest in energy infrastructure companies or for working capital purposes.

The agency said the ratings are based on asset coverage provided to the preferreds and notes by the fund's portfolios, structural protections afforded by mandatory deleveraging provisions in the event of asset coverage declines, the legal and regulatory parameters that govern the fund's operations and the capabilities of Tortoise Capital Advisors, LLC as investment adviser.

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