Obbligazioni societarie HIGH YIELD e oltre, verso frontiere inesplorate - Vol. 2 (6 lettori)

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Fitch Rates Jaguar Land Rover's Proposed Unsecured Notes 'BB-(EXP)'
20 NOV 2019 06:06 AM ET



Fitch Ratings - London - 20 November 2019:

Fitch Ratings has assigned Jaguar Land Rover Automotive plc's proposed benchmark senior unsecured notes an expected 'BB-(EXP)' rating. The notes will be guaranteed by Jaguar Land Rover Limited and Jaguar Land Rover Holdings Limited and will be used for general corporate purposes. The rating is in line with Jaguar Land Rover's (JLR) existing bonds, with which the notes are expected to rank pari passu.

The assignment of a final rating is contingent on the receipt of final documents materially conforming to information already reviewed.

The rating reflects JLR's weaker business profile relative to peers as risks increase in its markets, particularly in technology requirements as well as its investment in new models and platforms. The prospect of a disorderly Brexit and the spectre of US tariffs on car imports from Europe are additional risks. Fitch expects JLR's negative free cash flow (FCF) will continue until the financial year ending March 2021 (FY21), reflecting its intensive investment programme in electric powertrain, model replacement and new chassis architecture.
 

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