Fitch rates Etesa notes BBB

Fitch Ratings said it assigned a rating of BBB to Empresa de Transmision Electrica, SA's (Etesa) senior unsecured notes.

The recently issued $500 million 30-year amortizing notes have an average life of 23 years and a coupon rate of 5.125%.

The notes mature May 2, 2049.

Fitch also said it assigned to Etesa a foreign-currency and local-currency long-term issuer default ratings of BBB and national long-term rating of AAA(pan).

The assessment of its standalone credit profile is BBB-.

The outlook is stable.

The ratings reflect the company's strong linkage with the country's sovereign due to the government's 100% ownership in the company, Fitch said.

The ratings also consider the government's history of financial support for the company and its strategic importance to the country's electricity infrastructure, the agency said.

The ratings also take into account the company's relatively low business risk, stable cash flows, ownership of its assets and expected credit metrics in line with those of similarly-rated regional peers, Fitch said.

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