Fitch affirms Basell

Fitch Ratings said it affirmed Basell AF SC's long-term issuer default rating at BB-, senior secured rating at BB+ and senior notes at B+ and removed them from Rating Watch negative.

The agency also affirmed the short-term issuer default rating at B. This follows Huntsman Corp.'s July 12 termination of its $9.6 billion merger agreement with Basell.

The outlook for the long-term issuer default is stable.

Fitch said Basell's performance is improving and that the company has considerably de-leveraged its balance sheet.

The ratings are constrained by Fitch's expectation that Basell will continue to aim for external growth by acquisitions, as seen in its sizable bids for GE's plastics unit and for Huntsman, the agency said. Acquisitions could increase Basell's balance sheet leverage, Fitch said.

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