Fitch cuts MTN’s credit ratings

mtnFitch Ratings has downgraded the credit ratings of African telecoms group, MTN, from positive to negative.

The ratings agency said June 4, 2013 that it has cut MTN Group’s National Long-Term Rating to ‘AA-(zaf)’ from ‘AA(zaf)’.

“The downgrade reflects the group’s heightened business risk profile as a result of its growing reliance on cash generated from weak non-investment grade countries,” Fitch explains in a statement.

But the mobile operator’s “outlook is stable” as Fitch affirmed the group’s National Short-Term Rating at ‘F1+(zaf)’.

Fitch has also affirmed MTN Holdings (Pty) Ltd’s senior unsecured debt rating at ‘AA-(zaf)’.

The Stable Outlook reflects the group’s on-going strong cash generation and conservative leverage metrics, said Fitch.

By Ekow Quandzie

1 Comment
  1. Nii says

    In it’s one year of operation, Glo Ghana has done much more for ordinary Ghanians footballers and singers by sending them to Dibai and to Lagos – than what MTN has done in last ten years of operation.

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