Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative - S&P Global Ratings’ Credit Research

Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative

Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative - S&P Global Ratings’ Credit Research
Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative
Published Jan 28, 2020
4 pages (2195 words) — Published Jan 28, 2020
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Abstract:

Altice Europe N.V. is pushing down Altice Luxembourg S.A.'s remaining €4.5 billion of debt into Altice France S.A., while terming out drawings under the latter's revolving credit facility (RCF) with a new €500 million secured notes issuance. We expect adjusted leverage to rise by about 1.1x to 6.0x in 2020, with reported free operating cash flow (FOCF) after leases reducing to about €350 million from our estimate of €550 million-€650 million over 2020-2021, leading us to revise the stand-alone credit profile (SACP) to 'b' from 'b+', in line with parent Altice Europe. We are affirming our 'B' long-term issuer credit and issue ratings on Altice France and its secured debt, and assigning our 'B' rating to the proposed secured notes,

  
Brief Excerpt:

...January 28, 2020 - Altice Europe N.V. is pushing down Altice Luxembourg S.A.'s remaining 4.5 billion of debt into Altice France S.A., while terming out drawings under the latter's revolving credit facility (RCF) with a new 500 million secured notes issuance. - We expect adjusted leverage to rise by about 1.1x to 6.0x in 2020, with reported free operating cash flow (FOCF) after leases reducing to about 350 million from our estimate of 550 million-650 million over 2020-2021, leading us to revise the stand-alone credit profile (SACP) to 'b' from 'b+', in line with parent Altice Europe. - We are affirming our 'B' long-term issuer credit and issue ratings on Altice France and its secured debt, and assigning our 'B' rating to the proposed secured notes, '###+' ratings to the proposed senior notes, and preliminary '###+' ratings to the proposed exchange notes, which is a notch lower than the Altice Luxembourg debt they replace. - The outlook reflects a possible downgrade of Altice France over...

  
Report Type:

Ratings Action

Ticker
SFR@FP
Issuer
Altice France S.A.
GICS
Integrated Telecommunication Services (50101020)
Sector
Global Issuers
Country
France
Region
United States
Format:
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative" Jan 28, 2020. Alacra Store. May 13, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Telco-Altice-France-S-A-Affirmed-At-B-Despite-Rising-Leverage-After-Debt-Pushdown-From-Parent-Outlook-Negative-2373498>
  
APA:
S&P Global Ratings’ Credit Research. (). Telco Altice France S.A. Affirmed At 'B' Despite Rising Leverage After Debt Pushdown From Parent; Outlook Negative Jan 28, 2020. New York, NY: Alacra Store. Retrieved May 13, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Telco-Altice-France-S-A-Affirmed-At-B-Despite-Rising-Leverage-After-Debt-Pushdown-From-Parent-Outlook-Negative-2373498>
  
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