Fitch lowers Liquid Telecom

Fitch Ratings said it downgraded the ratings for Liquid Telecommunications Holdings Ltd., its $620 million of 5½% senior unsecured notes 2026 and its term loans to B from B+.

“The downgrade reflects high leverage, and weak Fitch-defined free cash flow (FCF) and liquidity pressure due to currency depreciation, eroding liquidity headroom. We expect Fitch-defined EBITDA net leverage to remain above our downgrade threshold until financial year ending February 2026 (FY26), coupled with weak FCF. We therefore view Liquid Telecom's financial profile and credit metrics as being more consistent with a B rating,” the agency said in a press release.

The outlook is negative.

© 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.