Apr 04, Colombo: Fitch Ratings announced that it has assigned Sri Lanka-based Hemas Holdings PLC's (HHP) senior unsecured redeemable debentures of up to Rs. 1 billion a final rating of 'A+(lka)'.
The assignment of the final rating follows the receipt of the final documents conforming to information previously received. The final rating is at the same level as the expected rating assigned on 31 March 2014.
Hemas Holdings is likely to use the proceeds for refinancing existing debt, which will lengthen its debt maturity profile.
Hemas, a holding company with its main wholly owned subsidiaries operate in the fast-moving consumer goods, healthcare and transportation sectors. The company also has majority interest in subsidiaries that are involved in the leisure and power sectors.
Diversified Operations was a key rating driver for the 'A+(lka)' rating assigned for the holding company.
According to the rating agency, the HHP's rating reflects the essential nature of and resilient demand for end products and services of its key operating subsidiaries, supported by its low financial risk at the holding company and group levels. The rating also factors in the businesses' strong brands, leading market share and moderate free cash flow generation.
The full statement by Fitch Rating can be found here.