...Fitch Ratings' affirmation of Amprion GmbH's Issuer Default Rating (IDR) reflects Amprion's strong credit profile as an electricity transmission system operator (TSO) in Germany benefitting from a stable regulatory framework and a predictable earnings profile. It also reflects our expectation that it will raise the necessary equity injections to maintain its targeted capital structure with a 40% regulatory equity ratio. The rating further considers Amprion's large investment plan, which translates into material negative free cash flow (FCF), with funds from operations (FFO) net leverage averaging close to 8.0x in our forecasts for 2024-2028, above our negative guideline of 7.3x. The Stable Outlook reflects that expected shareholder support will result in moderate headroom under the net debt/regulatory asset base (RAB) of about 60% on average in Fitch's updated rating case, compared with its negative rating sensitivity of 67%....
