Appeninn assigned ‘B+’ issuer rating for BGS participation
Listed real estate investment and asset management company Appeninn Holding has been assigned a ‘B+’ issuer rating by Scope Ratings for the Bond Funding for Growth Scheme (BGS) of the National Bank of Hungary (MNB), the company said in a statement on the Budapest Stock Exchange (BÉT) on Wednesday.
Senior unsecured debt of the company was rated ‘BB-’, surpassing the rating assigned for the company itself, Appeninn noted.
As a credit rating of at least ‘B+’ for the bonds to be purchased is required for participating in the BGS, the company has satisfied all requirements to partake in the scheme.
Appeninn said it intends to issue HUF 20 billion of bonds as part of the program, with the bonds planned to cover possible future acquisitions and refinancing efforts. The bonds will be issued following an authorization granted by shareholders.
The MNB launched the HUF 300 bln BGS on July 1, 2019, with the aim of beefing up Hungaryʼs relatively small corporate bond market. The program limits the central bankʼs purchases to 70% of a series and caps its exposure to any corporate group at HUF 20 bln.
Other participants in the MNBʼs corporate bond scheme that have been rated by Scope include listed automotive holding AutoWallis, alternative energy company Alteo, construction firm Market Építő, auto parts seller Unix Autó, property developer Wingholding, listed holding Opus Global, biorefinery business Pannonia Bio, real estate investor Proform, and road builder Duna Aszfalt.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.