Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion - S&P Global Ratings’ Credit Research

Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion

Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion - S&P Global Ratings’ Credit Research
Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion
Published Nov 17, 2020
5 pages (2331 words) — Published Nov 17, 2020
Price US$ 150.00  |  Buy this Report Now

About This Report

  
Abstract:

Japan-based telecommunications company NTT announced today that it has completed the acquisition of listed mobile communications subsidiary NTT Docomo through a tender offer. Damage to key financial metrics as a result of the takeover will far outweigh the benefits in improved performance and operations, in our view, because NTT will finance the ¥4.3 trillion deal mostly with debt. We are lowering our long-term issuer credit ratings on NTT, NTT Docomo, and NTT Finance two notches to 'A' from 'AA-' and our short-term issuer credit ratings on these companies one notch to 'A-1' from 'A-1+', and we are removing the ratings from CreditWatch negative. The outlook is stable, reflecting our view that, despite deterioration in financial soundness, NTT is likely to

  
Brief Excerpt:

...November 17, 2020 - Japan-based telecommunications company NTT announced today that it has completed the acquisition of listed mobile communications subsidiary NTT Docomo through a tender offer. - Damage to key financial metrics as a result of the takeover will far outweigh the benefits in improved performance and operations, in our view, because NTT will finance the Ñ4.3 trillion deal mostly with debt. - We are lowering our long-term issuer credit ratings on NTT, NTT Docomo, and NTT Finance two notches to 'A' from '##-' and our short-term issuer credit ratings on these companies one notch to 'A-1' from 'A-1+', and we are removing the ratings from CreditWatch negative. - The outlook is stable, reflecting our view that, despite deterioration in financial soundness, NTT is likely to moderately reduce debt so as to maintain a financial position commensurate with our ratings in the next one to two years. TOKYO (S&P Global Ratings) Nov. 17, 2020--S&P Global Ratings today said it has lowered...

  
Report Type:

Ratings Action

Ticker
9432@JP
Issuer
Nippon Telegraph&Telephone Corp.
GICS
Integrated Telecommunication Services (50101020)
Sector
Global Issuers, Structured Finance
Country
Japan
Region
Latin America
Format:
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Buy Now

Nippon Telegraph&Telephone Corp. – 2021/02/16 – US$ 500.00

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Tear Sheet: Nippon Telegraph&Telephone Corp. – 2023/09/28 – US$ 500.00

Nippon Telegraph&Telephone Corp. – 2024/02/27 – US$ 500.00

Nippon Telegraph&Telephone Corp. – 2020/03/31 – US$ 500.00

Nippon Telegraph&Telephone Corp. – 2019/09/26 – US$ 500.00

Nippon Telegraph&Telephone Corp. – 2019/03/29 – US$ 500.00

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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion" Nov 17, 2020. Alacra Store. May 12, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Three-NTT-Companies-Downgraded-To-A-On-Docomo-Takeover-Completion-2555605>
  
APA:
S&P Global Ratings’ Credit Research. (). Three NTT Companies Downgraded To 'A' On Docomo Takeover Completion Nov 17, 2020. New York, NY: Alacra Store. Retrieved May 12, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Three-NTT-Companies-Downgraded-To-A-On-Docomo-Takeover-Completion-2555605>
  
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