The rating agency S&P Global Ratings has assigned a BBB-/A-3 company rating to HeidelbergCement. The classification in the Investment Grade is associated in particular with the strong business profile after the Italcementi acquisition and an improved creditworthyness.
“We are very happy about the positive rating decision by S&P,” said Dr. Bernd Scheifele, CEO of HeidelbergCement. “It is proof of the strong operating business of HeidelbergCement and the continuous improvement of our capital structure and cashflow in the last years. With the classification in the Investment Grade, we have achieved one of our core strategic targets. As a consequence, we are very well positioned to significantly enlarge our investor base and improve our financing conditions.”
S&P also upgraded the issuance ratings of Italcementi from BB/B to BBB-/A-3. The outlook on all ratings is stable.
In its rationale for the rating, S&P Global Ratings points out the strong market position and wide geographic diversification of HeidelbergCement following the acquisition of Italcementi. HeidelbergCement is the worldwide largest producer of aggregates and the clear number 2 in cement and benefits from well-established local brands, leading research and development capabilities and the vertically integrated structure across its business lines.
Read the article online at: https://www.worldcement.com/europe-cis/10112016/sp-global-ratings-assigns-investment-grade-rating-to-heidelbergcement/