S&P raises TGS

Standard & Poor's said it raised its corporate credit rating on Transportadora de Gas del Sur SA (TGS) to B+ from B, following the recent completion of the company's debt refinancing plan.

At the same time, the agency said it affirmed the B+ senior unsecured rating on the TGS $500 million 10-year notes.

The outlook on TGS was also revised to stable from positive, S&P added.

The upgrade on the TGS corporate credit rating reflects improvement on the company's financial risk profile, as a result of the debt reduction and the significant extension of the company's already adequate debt maturity profile, according to the agency, which noted that the ratings on TGS also reflect the high political and regulatory risk the company faces in Argentina, the dependence on natural gas availability for the nonregulated business, and partial currency mismatch between revenues and debt service.

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