Moody’s assigns Seazen notes Ba3

Moody’s Investors Service said it assigned a Ba3 senior unsecured rating to the proposed notes to be issued by Seazen Group Ltd. Moody’s rates Seazen Ba2.

The proceeds will be used to repay the company’s offshore debt that will mature within one year.

“The proposed notes will improve Seazen Group’s liquidity but not have a material impact on its credit metrics, because the proceeds will be mainly used for refinancing,” said Kaven Tsang, a Moody’s senior vice president, in a press release.

Moody’s said it projects Seazen Group’s revenue/adjusted debt and EBIT/interest coverage will moderate to 70%-75% and around 3x-3.5x in the next 12-18 months from 81% and 4.1x, respectively, in 2019.

“This is driven by an expected increase in debt to support its growth plan after it temporarily suspended land acquisitions in the second half of 2019,” the agency said.

© 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.