Moody's gives Continental bond B1

Moody's Investors Service said it assigned a provisional B1 rating to Continental AG's proposed secured high-yield benchmark bond.

The corporate family rating of Conti remains at B1 with a negative outlook.

According to the agency, proceeds of the proposed bond issuance are planned to be used to refinance part of the outstanding debt of €8.2 billion drawn under the company's syndicated credit facility due August 2012.

Given the five- and seven-year maturities of the proposed tranches, a successful issue would somewhat lengthen the uneven debt structure of Conti as well as diversify the funding of the company.

© 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.