Moody's bump up Mobilux

Moody's Investors Service said it upgraded Mobilux 2 SAS' (BUT) corporate family rating to B1 from B2 and its probability of default rating to B1-PD from B2-PD. The agency concurrently raised to B2 from B3 the instrument rating of the €500 million of backed senior secured notes due 2028, issued by Mobilux Finance SAS.

“Today's rating upgrade is mainly driven by BUT's strong track record of solid operating performance since fiscal year 2020 (year-end is June 30) that has led to a decline in Moody's adjusted debt/EBITDA to 3x as of last 12 months (LTM) ending March 31, 2023, compared to 4.3x as of the end of FY2020 even under a very challenging macroeconomic backdrop of low consumer confidence, high inflation and weaker volumes.

“BUT reported revenues of €2.1 billion and Moody's adjusted EBITDA of €304 million as of LTM ending March 31, 2023 while maintaining good interest coverage (EBIT/interest expense) of 3.7x. As of LTM ending March 31, 2023, free cash flow (FCF) to debt has been somewhat weak at 0.7% due to working capital outflow resulting from lower volumes,” the agency said in a press release.

The outlook for both entities remains stable.

© 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.