France-based retail property company Klepierre S.A. announced today its intention to acquire Corio N.V., a Netherlands-based retail property company, in an all-share transaction. We are placing our ratings on Klepierre on CreditWatch with negative implications, and our ratings on Corio ratings on CreditWatch with positive implications. This is to reflect our view that the corporate credit rating on the merged entity is likely to be equal either to the current 'A-' corporate credit rating on Klepierre or the 'BBB+' on Corio. We will base the eventual rating outcome on our operating performance forecasts for the combined entity, including our assessment of operating synergies and integration risks. On July 29, 2014, Standard&Poor's Ratings Services placed its 'A-' ratings on
