Moody’s Investors Service has downgraded PTT Global Chemical Public Company Limited’s issuer rating and other ratings due to concerns about the company’s high leverage and challenging market conditions in the petrochemical sector.
Key TakeawaysMoody’s has downgraded PTT Global Chemical’s issuer rating and related notes due to the company’s high leverage and challenges in the petrochemical sector.PTTGC’s ability to reduce its debt through internal cash flows will be hindered by industry conditions and soft demand for petrochemicals.Despite the expected gradual earnings improvement over the next few years, PTTGC’s debt levels remain high and will likely exceed its current rating level.
PTTGC’s leverage has increased due to weak earnings and high debt levels following an acquisition. Moody’s expects the company’s ability to reduce its debt through internal cash flows to be hindered by industry conditions.
At the same time, Moody’s has downgraded (1) to Baa3 from Baa2 the rating on the backed senior unsecured notes issued by GC Treasury Center Company Limited (GCTC), a…
