Rating Release
Agusto & Co hereby upgrades the “A+” rating assigned to Aradel Holdings PLC’s ₦10.318 billion Five-Year 17% Fixed Rate Senior Unsecured Bond
The rating expires on 30 June 2024.
Agusto & Co hereby upgrades the rating assigned to Aradel Holdings PLC’s (“Aradel Holdings”, “Aradel”, “the Company” or “the Issuer”) ₦10.318 billion Five-Year 17% Fixed Rate Senior Unsecured Bond Due 2028 (“Series 1 Bond”, “the Bond” or “the Issue”) to “A+”. The rating upgrade underscores the notable improvement in the Company’s earnings and cash flows despite the challenging operating environment. The rating also considers Aradel’s integrated business structure, which has helped to build some resilience against industry-wide challenges of crude oil theft and pipeline vandalism. The rating is however constrained by the continuous vulnerability of the Issuer’s future earnings to potential host community disturbances and oil price volatility.
The opinions expressed in this rating release do not represent investment or other advice and should therefore not be construed as such. Visit www.agusto.com for further information.
