This followed the upgrade of Argentina’s sovereign rating from ‘CC’ to ‘CCC’. Among the companies is YPF, whose shares rose 9%.
The American risk rating agency Fitch Ratings improved the risk ratings of seven Argentine companies, including the state oil company YPF. As explained by the entity, it is due to the recent improvement of Argentina’s sovereign rating, which went from ‘CC’ to ‘CCC’.
YPF, AES Argentina, GEMSA, Genneia, MSU Energy rise to CCC, Edenor moves to CC+ and Aysa rises to CCC-.
In this way, Argentine assets went from “high-risk speculation” to “speculative investment.” In the case of the seven companies, the improvement is for both the issuer category in foreign currency and local currency, as well as the ratings of the senior bonds.
How is the rating change according to the company
This is the case of AES Argentina Generación SA, Generación Mediterránea SA (GEMSA), Genneia SA and MSU Energy SA, which go from ‘CCC-‘ to ‘CCC’. Meanwhile, the bond ratings of GEMSA, Genneia and MSU were upgraded from ‘CCC’ to ‘CCC+’.
On the other hand, Fitch improved the foreign currency issuer risk and local currency issuer risk ratings of Empresa Distribuidora y Comercializadora Norte SA (EDENOR) to ‘CCC+’ from ‘CCC´. Finally, Fitch upgraded the latter company’s bonds to ‘B-‘, one notch above its Foreign Currency Issuer Risk rating, reflecting an ‘RR3’ Asset Recovery rating from ‘CCC+’/’ RR3′.
Source: Ambito
I am an author and journalist who has worked in the entertainment industry for over a decade. I currently work as a news editor at a major news website, and my focus is on covering the latest trends in entertainment. I also write occasional pieces for other outlets, and have authored two books about the entertainment industry.
