Spain's vertically integrated gas and electricity utility Gas Natural SDG S.A. plans to issue junior subordinated hybrid notes via a subsidiary. We assess the proposed notes as having intermediate equity content. We are assigning our 'BB+' issue rating to the proposed notes to reflect their subordination and optional deferability. PARIS (Standard&Poor's) April 21, 2015--Standard&Poor's Ratings Services today assigned its 'BB+' long-term issue rating to the proposed long-dated, optionally deferrable, subordinated hybrid capital notes to be issued by Gas Natural Fenosa Finance B.V. (GNF Finance), a subsidiary of Gas Natural SDG S.A. (BBB/Stable/A-2), Spain's gas and electricity utility. Gas Natural will guarantee the notes. The transaction remains subject to market conditions. We consider the proposed notes to
