Fitch Ratings has assigned JSC ENERGO-PRO Georgia (EPG) a final Long-Term Issuer Default Rating (IDR) of ‘BB’/Stable. This follows the notes issue by EPG’s parent. A full list of rating actions is available at the end of this commentary.
The ratings are aligned with those of EPG’s sole shareholder, ENERGO-PRO a.s. (EPas), reflecting strong ties between the two, as the parent provided guarantees for most of EPG’s loans at end-2016 and will provide direct funding in future. EPG is one of the key operating subsidiaries within the group, and was responsible for about 40% of EPas’ EBITDA in 2016 (before the spin-off of generation business).
The rating also reflects EPG’s standalone profile, its natural monopoly position in electricity distribution and supply, with regulated asset-based tariffs set by the independent regulator in Georgia, the relatively short track record of regulation, EPG’s small size compared to other rated CIS utilities, volatile EBITDA and FX exposure.დატოვე კომენტარი