S&P changes CRH to negative

S&P said it revised the outlook on CRH plc to negative from stable and affirmed the BBB+/A-2 long-and short-term corporate ratings.

CRH is currently undertaking several large acquisitions, including Ash Grove Cement for $3.5 billion and Florida-based cement plant assets Suwannee for $750 million, in addition to about €1.34 billion in acquisitions made year to date 2017, as disclosed by CRH on the group's Nov. 21 trading update call.

The negative outlook reflects a view that, although CRH should benefit from continued robust demand for its products and exhibit gradually strengthening margins, there will be very little ratings headroom for the group over the next two years, leaving it vulnerable to a downgrade, the agency explained.

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