U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable - S&P Global Ratings’ Credit Research

U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable

U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable - S&P Global Ratings’ Credit Research
U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable
Published Feb 05, 2024
5 pages (2801 words) — Published Feb 05, 2024
Price US$ 150.00  |  Buy this Report Now

About This Report

  
Abstract:

Kier Group PLC plans to raise up to £250 million of senior unsecured notes to refinance its existing capital structure. We anticipate that Kier will sustain its improved profitability in 2024-2025, and its cash generation will normalize after the significant working capital cash inflow in 2023. We assigned our preliminary 'BB-' ratings to Kier Group PLC and to the proposed up to £250 million senior unsecured notes and assigned a preliminary recovery rating of '3' to the notes. The stable outlook reflects Kier's improved earnings and cash generation in 2023 and our expectation that cash generation will normalize in 2024, as well as our forecast that adjusted funds from operations (FFO) to debt will be about 30%-35% in 2024 and

  
Brief Excerpt:

...February 5, 2024 - Kier Group PLC plans to raise up to ú250 million of senior unsecured notes to refinance its existing capital structure. - We anticipate that Kier will sustain its improved profitability in 2024-2025, and its cash generation will normalize after the significant working capital cash inflow in 2023. - We assigned our preliminary '##-' ratings to Kier Group PLC and to the proposed up to ú250 million senior unsecured notes and assigned a preliminary recovery rating of '3' to the notes. - The stable outlook reflects Kier's improved earnings and cash generation in 2023 and our expectation that cash generation will normalize in 2024, as well as our forecast that adjusted funds from operations (FFO) to debt will be about 30%-35% in 2024 and operating cash flow (OCF) to debt at about 20%. LONDON (S&P Global Ratings) Feb. 5, 2024--S&P Global Ratings today took the rating actions listed above. London Stock Exchange-listed engineering and construction group Kier is planning to refinance...

  
Report Type:

Ratings Action

Issuer
Kier Group PLC
Sector
Global Issuers
Country
United Kingdom
Region
Europe, Middle East, Africa
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable" Feb 05, 2024. Alacra Store. Nov 06, 2026. <http://www.alacrastore.com/s-and-p-credit-research/U-K-Based-Engineering-And-Construction-Group-Kier-And-Proposed-Notes-Rated-Preliminary-BB-Outlook-Stable-3121030>
  
APA:
S&P Global Ratings’ Credit Research. (). U.K.-Based Engineering And Construction Group Kier And Proposed Notes Rated Preliminary 'BB-'; Outlook Stable Feb 05, 2024. New York, NY: Alacra Store. Retrieved Nov 06, 2026 from <http://www.alacrastore.com/s-and-p-credit-research/U-K-Based-Engineering-And-Construction-Group-Kier-And-Proposed-Notes-Rated-Preliminary-BB-Outlook-Stable-3121030>
  
US$ 150.00
$  £  €
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