Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative - S&P Global Ratings’ Credit Research

Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative

Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative - S&P Global Ratings’ Credit Research
Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative
Published Oct 29, 2015
Published Oct 29, 2015
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About This Report

  
Abstract:

The Nigerian Communications Commission has fined mobile network operator, MTN, Nigeria naira 1.04 trillion (about $5.2 billion) related to delayed disconnections of subscribers. In addition, we believe country risk in Nigeria has increased, while the group's liquidity cushion has declined and it faces tougher economic conditions in its service areas. We are therefore lowering our ratings on MTN to 'BBB-' and 'zaAA-' from 'BBB' and 'zaAA+' and placing them on CreditWatch with negative implications. The CreditWatch indicates that we could downgrade MTN if its liquidity position and credit metrics weaken further, depending on the timing of the fine and the group's near-term refinancing activity. On Oct. 29, 2015, Standard&Poor's Ratings Services lowered its long-term corporate credit ratings on

  
Report Type:

Research Update

Issuer
MTN Group Ltd.
GICS
Wireless Telecommunication Services (50102010)
Sector
Global Issuers
Country
South Africa
Region
Europe, Middle East, Africa
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative" Oct 29, 2015. Alacra Store. May 25, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-South-African-Telecom-MTN-Downgraded-To-BBB-And-zaAA-On-Regulatory-Fine-Ratings-Put-On-Watch-Negative-1472671>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: South African Telecom MTN Downgraded To 'BBB-' And 'zaAA-' On Regulatory Fine; Ratings Put On Watch Negative Oct 29, 2015. New York, NY: Alacra Store. Retrieved May 25, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-South-African-Telecom-MTN-Downgraded-To-BBB-And-zaAA-On-Regulatory-Fine-Ratings-Put-On-Watch-Negative-1472671>
  
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