Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers T > Headlines for Tianqi Lithium Corp. > News item |
Moody's cuts Tianqi Lithium
Moody's Investors Service said it downgraded to Caa1 from B2 Tianqi Lithium Corp.'s corporate family rating. Moody's also downgraded the senior unsecured rating on the bonds issued by Tianqi Finco Co., Ltd. and guaranteed by Tianqi Lithium to Caa2 from B2. The outlook remains negative.
"The ratings downgrade reflects Tianqi Lithium's very strained capital structure as a result of its high debt burden, elevated leverage and weak liquidity," said Gerwin Ho, a Moody's vice president and senior credit officer, in a press release.
"These factors have increased refinancing risk, in particular with regard to the November 2020 maturity of part of the loan associated with its acquisition of a stake in Sociedad Quimica y Minera de Chile SA," added Ho.
Refinancing risk is further exacerbated by the rapid and widening spread of the coronavirus outbreak, deteriorating global economic outlook, falling oil prices, and asset price declines that are creating a severe and extensive credit shock across many sectors, regions and markets. The combined credit effects of these developments are unprecedented.
© 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.