S&P upgrades Metalloinvest rating to 'BB+' with a stable outlook
Moscow, Russia - 27 February 2019 - Metalloinvest ("the Company") today announces that Standard & Poor's Ratings Services ("S&P") has upgraded the Company's long-term corporate credit rating to 'BB+' with a stable outlook from 'BB'/stable.
According to a statement published by S&P, Metalloinvest's rating upgrade to 'BB+' reflects the Company's continuous debt reduction over recent years, as well as strong operating and financial results achieved in 2018.
S&P's analysts expect that Metalloinvest's strong position in the iron ore and high value-added product markets, low production costs and improved credit metrics will allow the Company to remain resilient to the volatile pricing environment.
At the same time, S&P has raised the issue rating on the senior unsecured notes issued by Metalloinvest Finance D.A.C. from 'BB' to 'BB+'.
Alexey Voronov, Finance Director of Management Company Metalloinvest, commented:
"We highly value our long-term cooperation with S&P. The credit agency assigned a debut 'BB-' rating to Metalloinvest in July 2012. The previous rating upgrade from 'BB-' to 'BB' took place in February 2014. We are pleased that Metalloinvest's strong financial results, as well as proactive debt management and commitment to best practice corporate governance were positively received by S&P. This has facilitated a credit rating upgrade to 'BB+' skipping the additional step of an outlook revision from stable to positive at the 'BB' rating."
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For more information, please contact:
Artem Lavrischev
Director of Investor Relations and Corporate Ratings
E: ir@metalloinvest.com
T: +7 (495) 981-55-55
Metalloinvest is a leading global iron ore and merchant HBI producer and supplier, and one of the regional producers of high-quality steel. The Company has the world's second-largest measured iron ore reserve base and is one of the lowest-cost iron ore producers.
Metalloinvest is wholly owned by Holding Company USM LLC. Alisher Usmanov is the major beneficiary of Holding Company USM LLC (49%), with other major beneficiaries being the companies of Vladimir Skoch (30%) and Farhad Moshiri (8%).
