Moody's rates Empresa de Transmision Electrica Baa1

Moody's Investors Service said it assigned a first-time Baa1 issuer rating to Empresa de Transmision Electrica, SA.

The outlook is stable.

The ratings reflect key credit strengths, including its solid market position as the sole transmission company in Panama with exclusive rights to operate the network, Moody's said.

The company provides an essential and regulated service with tariffs sized to cover operating and investment costs, the agency said, and generating a highly visible stream of cash flows.

The company is projected to exhibit a relatively high leverage, particularly over the next few years mainly due to the capital investment program, Moody's said.

The outlook is stable, reflecting the regulated business model that is expected to generate stable and visible cash flows, the agency said.

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