Fitch gives BB to Ladbrokes notes

Fitch Ratings said it assigned Ladbrokes Group Finance plc's planned British pound-denominated unsecured notes an expected rating of BB(EXP).

The rating is in line with Ladbrokes plc's long-term issuer default rating of BB.

The proposed bond issuance will rank equally with the company's senior unsecured debt.

Following the completion of its merger with Gala Coral Group, which is expected to materialize in the near-term, Fitch said it expects to affirm Ladbrokes' issuer default rating at BB with stable outlook and remove it from Rating Watch Negative (RWN).

After completion of the merger with Gala Coral, Ladbrokes issuer default rating will be supported by the enlarged group's strengthened business profile, strong brand names, its large retail network, growing online presence offset by a limited geographic diversity. The merger will allow the group to maintain its market position, improve profitability through synergies and benefit from shared innovation, the agency explained.

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