Vattenfall AB's Proposed Hybrid Rated 'BB+'

Vattenfall AB has launched a new hybrid instrument to replace its NC2023 $400 million (approximately Swedish krona [SEK] 4.2 billion) hybrid. The company intends to use the proceeds of this instrument so that the equity content of its hybrid layer remains broadly unchanged. The proposed transaction does not impair our view of the hybrid layer within Vattenfall's capital structure and we understand that the company is committed to maintaining about SEK20 billion of hybrid capital on its balance sheet. We assigned our 'BB+' issue rating to the proposed securities to reflect their subordination and optional deferability. We assess the instrument as having intermediate equity content. STOCKHOLM (S&P Global Ratings) May 9, 2023--S&P Global Ratings today assigned its 'BB+' long-term issue

...May 9, 2023 - Vattenfall AB has launched a new hybrid instrument to replace its NC2023 $400 million (approximately Swedish krona [SEK] 4.2 billion) hybrid. - The company intends to use the proceeds of this instrument so that the equity content of its hybrid layer remains broadly unchanged. - The proposed transaction does not impair our view of the hybrid layer within Vattenfall's capital structure and we understand that the company is committed to maintaining about SEK20 billion of hybrid capital on its balance sheet. - We assigned our '##+' issue rating to the proposed securities to reflect their subordination and optional deferability. We assess the instrument as having intermediate equity content. STOCKHOLM (S&P Global Ratings) May 9, 2023--S&P Global Ratings today assigned its '##+' long-term issue rating to the proposed 2083, optionally deferrable, and subordinated hybrid capital securities to be issued by Vattenfall AB (###+/Positive/A-2). The hybrid amount remains subject to market...

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