ALROSA 2 August 2021 - S&P Global Ratings, a global rating agency, has raised ALROSA's stand-alone credit profile (SACP) to BBB and affirmed its long-term credit rating at BBB-, on par with Russia's sovereign rating, with a stable outlook. The Russian and Yakutian governments have a controlling stake in the Company.
ALROSA's SACP was upgraded to BBB from BBB-. S&P considered the Company's leadership in the global diamond market, for which the agency has a strong fundamental outlook, as well as its resilient business model, and commitment to a balanced financial policy and transparency.
The agency noted that, while ALROSA, on a standalone basis, met the criteria for a credit rating above that of Russia, it believed that its overall rating currently constrained by the country's - at BBB-.
The stable outlook reflects S&P's confidence that in the next two years ALROSA's balanced financial and dividend policies will help its financials remain at a comfortably high level amid a stable demand and a limited supply in the global diamond market.
'The upward revision of ALROSA's SACP by S&P Global Ratings is the best recognition of our effective strategy to ensure stable and sustainable development of the Company, openness, transparency and compliance with best corporate governance practices. All this has made ALROSA one of the three Russian companies (and the only one state-owned) with an individual credit rating of BBB, above the sovereign. It is also one of the few global companies with a state ownership to have an individual rating higher than sovereign. Thanks to our balanced financial policy, we have a safety cushion needed to ensure stable operation even in a weakening market. ALROSA's success in implementing a strategy to overcome the crisis caused by suspended global diamond trade in mid-2020 serves as a conclusive proof of our resilience,' said Sergey Ivanov, CEO at ALROSA.
For reference:
On 15 June 2021, Fitch Ratings upgraded ALROSA's long-term issuer default rating (IDR) from BBB- to BBB with a stable outlook (for more details, see the press release here).
Attachments
- Original document
- Permalink
Disclaimer
ALROSA PJSC published this content on 02 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 02 August 2021 10:01:06 UTC.
