Moody's: Wind view to stable

Moody's Investors Service said it changed the outlook on Wind Telecomunicazioni SpA's Ba3 corporate family rating to stable from developing.

This follows news that VimpelCom Ltd.'s shareholders approved the acquisition of Wind Telecom SpA, the 100% owner of Wind.

The stable outlook reflects the benefits to Wind of being part of a more stable, diversified and financially sound telecoms group, Moody's said.

It also incorporates an expectation that Wind will retain its current capital structure with its associated ring-fencing mechanisms, the agency said.

Moody's noted that as part of the consideration related to the planned spin-off of Wind's assets, VimpelCom will compensate Wind Italy with $300 million in cash. Moody's said it understands that such proceeds will be retained within the restricted Wind group.

The agency also said it expects that Wind's management will continue to pursue its current business strategy within the Italian telecom market.

© 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.