Genesis Energy Ltd.'s Proposed Capital Bonds Rated 'BB+'

MELBOURNE (S&P Global Ratings) June 18, 2018--S&P Global Ratings today said it has assigned its 'BB+' long-term issue credit rating to the proposed subordinated capital securities, of up to NZ$240 million, to be issued by Genesis Energy Ltd. (BBB+/Stable/--). We have rated the capital securities two notches below Genesis' stand-alone credit profile (SACP) of 'bbb', representing one notch each for the instrument's subordination and optional deferral features. Genesis will use proceeds from the issuance to redeem an equivalent amount of the company's existing capital bonds and for general corporate purposes. The rating on the capital bonds is three notches below the issuer credit rating of 'BBB+' on Genesis as the issuer rating on the company includes one notch uplift from

...MELBOURNE (S&P Global Ratings) June 18, 2018--S&P Global Ratings today said it has assigned its '##+' long-term issue credit rating to the proposed subordinated capital securities, of up to NZ$240 million, to be issued by Genesis Energy Ltd. (###+/Stable/--). We have rated the capital securities two notches below Genesis' stand-alone credit profile (SACP) of '###', representing one notch each for the instrument's subordination and optional deferral features. Genesis will use proceeds from the issuance to redeem an equivalent amount of the company's existing capital bonds and for general corporate purposes. The rating on the capital bonds is three notches below the issuer credit rating of '###+' on Genesis as the issuer rating on the company includes one notch uplift from its SACP due to its status as a government-owned entity. We rate the instrument based on the issuer's SACP as we do not expect extraordinary government support to benefit holders of hybrid instruments. We assess the equity...

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