Turkey: Standard & Poor’s raise long-term corporate credit rating on Anadolu Efes

Standard & Poor’s (“S&P”), the international rating agency, has raised its long-term corporate credit rating on Anadolu Efes to “BB+” from “BB”, the Turkish brewer reported on May, 24.

In its rating report S&P stated that Anadolu Efes has proven a sustainable discretionary cash flow generation capacity and S&P have therefore revised its assessment of Anadolu Efes' financial risk profile. The positive outlook reflects the potential for Anadolu Efes to further improve its financial risk profile - and consequently the credit rating - within the next two years principally through lowering exposures to refinancing and interest rate risks.

According to the report, S&P also believes that Anadolu Efes is likely to continue maintaining a ratio of adjusted debt to EBITDA of about 1.0x. It is also noted that Anadolu Efes will maintain modest debt leverage and positive discretionary cash flow generation. S&P also believes that Anadolu Efes' operational performance is likely to remain robust and resilient to external pressures.

01 June, 2011