S&P upgrades Alam Sutera

S&P said it raised PT Alam Sutera Realty Tbk.’s ratings to CCC from D after it completed the exchange and placement of its $171.4 million of notes due in 2024 and $251 million of notes due in 2025.

The exchange substantially extended the company's debt maturity profile. Alam Sutera still has $16 million of notes due in April and $46.6 million of notes due in April 2022 outstanding. The agency raised the notes’ ratings to CCC from D.

“Our base case assumes that the company will repay the notes maturing in 2021 using internally generated cash, and redeem or refinance the notes due in 2022. Our rating on Alam Sutera reflects the company's unsustainable capital structure, and weak operating cash flow and liquidity over the next 12 months,” S&P said in a press release.

The outlook is negative.

© 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.