France-Based Utility ENGIE Short-Term Rating Raised To ?A-1?, Long-Term ?A-? Rating Affirmed; Outlook Stable

Global multi-utility ENGIE's updated strategic plan for the coming three years, reiterates its focus on infrastructure-led growth, regulated and long-term contracted activities, and shifting away from coal-based merchant power generation. We understand the group will continue diversifying its business portfolio, with a larger share of asset-based services potentially bolstered by large acquisitions, while maintaining a disciplined financial policy, including adjusted debt maintained at about €40 billion over 2019-2021. We are raising the short-term issuer credit rating to 'A-1' from 'A-2', based on the company's exceptional liquidity, and affirming the 'A-' long-term rating on ENGIE SA and its subsidiary GIE ENGIE Alliance, and the 'BBB' issue rating on ENGIE's deeply subordinated hybrid securities. The stable outlook reflects our confidence that the

...+ Global multi-utility ENGIE's updated strategic plan for the coming three years, reiterates its focus on infrastructure-led growth, regulated and long-term contracted activities, and shifting away from coal-based merchant power generation. + We understand the group will continue diversifying its business portfolio, with a larger share of asset-based services potentially bolstered by large acquisitions, while maintaining a disciplined financial policy, including adjusted debt maintained at about 40 billion over 2019-2021. + We are raising the short-term issuer credit rating to 'A-1' from 'A-2', based on the company's exceptional liquidity, and affirming the 'A-' long-term rating on ENGIE SA and its subsidiary GIE ENGIE Alliance, and the '###' issue rating on ENGIE's deeply subordinated hybrid securities. + The stable outlook reflects our confidence that the group's credit metrics will improve, with expected EBITDA growth and overall debt stabilization over 2019-2021--including funds from...

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