Metalloinvest (the "Company"), a leading manufacturer and supplier of iron ore products and hot briquetted iron in the global market, one of the regional producers of high-quality steel, announces an increase by the international rating agency Standard & Poor's ("S&P") of the rating of the Company from stable to positive. The long-term credit rating has been affirmed at 'BB +'.
According to the published S&P report, the change in Metalloinvest's outlook to positive is due to the Company's systematic work to reduce debt, as well as the stable operating and financial indicators achieved in 2020 despite challenging market conditions.
S&P analysts expect the Company to demonstrate strong results in 2021, including due to favorable market conditions, which will further reduce debt. The positive outlook means that the credit rating could be upgraded if the Company maintains its current credit metrics in the long term.
Alexey Voronov, Deputy General Director for Finance and Economics of the Company, commented: “We are grateful to S&P for the timely response to the Company's adherence to the current financial policy and active management of the debt portfolio, which is reflected in debt repayment of more than 600 million over the past two years and has resulted in a marked improvement in our credit metrics. ”