Denmark-Based Power And Gas Company Ørsted A/S Proposed Hybrid Notes Rated 'BB+'

PARIS (S&P Global Ratings) Nov. 16, 2017--S&P Global Ratings today assigned its 'BB+' issue rating to the proposed long-dated, optionally deferrable, and subordinated hybrid notes to be issued by Ørsted A/S (BBB+/Stable/A-2). We understand that Ørsted A/S will use cash proceeds from the notes to pre-finance the announced redemption of its 2013 NC5 hybrid bond callable at par for the first time on July 8, 2018, and for green-eligible projects according to the issuers' green bond framework. The completion and size of the transaction will be subject to market conditions, but we understand that the issuance should be about €500 million. Due to the increased likelihood of Ørsted A/S' exercising the call option once the proposed security is issued, we

...PARIS (S&P Global Ratings) Nov. 16, 2017--S&P Global Ratings today assigned its '##+' issue rating to the proposed long-dated, optionally deferrable, and subordinated hybrid notes to be issued by +rsted A/S (###+/Stable/A-2). We understand that +rsted A/S will use cash proceeds from the notes to pre-finance the announced redemption of its 2013 NC5 hybrid bond callable at par for the first time on July 8, 2018, and for green-eligible projects according to the issuers' green bond framework. The completion and size of the transaction will be subject to market conditions, but we understand that the issuance should be about 500 million. Due to the increased likelihood of +rsted A/S' exercising the call option once the proposed security is issued, we will treat the upcoming reset date of the existing 2013 NC5 hybrid bond as the effective maturity date. As a result, we will revise our assessment of its equity content to minimal from intermediate due to the lack of permanence. Over 2017-2019, we...

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