Fitch sees rating Caterpillar notes A+

Fitch Ratings said it expects to assign an A+ to the C$300 million of 4.51%, senior unsecured notes due March 5, 2027, issued by Caterpillar Financial Services Ltd.'s (CFSL), a wholly-owned subsidiary of Caterpillar Financial Services Corp. (CFSC), which in turn, is a wholly-owned subsidiary and captive finance company of Caterpillar, Inc.

“The expected senior unsecured debt rating is equalized with the ratings assigned to CFSC's existing senior unsecured debt, as the new senior unsecured notes will rank equally in the capital structure. The senior unsecured debt ratings are equalized with CFSC and CFSL's long-term IDRs of A+, reflecting the firm's unsecured funding profile and average recovery prospects for unsecured creditors under a stressed scenario,” Fitch said in a press release.

The proceeds will be used to repay debt and for general corporate purposes.

The outlook is stable.

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