Moody’s Investors Service has upgraded Landsvirkjun‘s credit rating for unguaranteed debt to Baa3 from Ba1. Credit rating for Landsvirkjun’s debt supported by a guarantee of collection is upgraded to Baa1 from Baa2. Outlook is stable. The rating action follows Moody’s upgrade for the Republic of Iceland from September 1, 2016.
“Landsvirkjun is now investment grade for unguaranteed debt with both Moody’s and S&P, which is very good news. To achieve investment grade increases trust amongst lenders and supports Landsvirkjun’s operations with improved access to capital and lower financing cost. Landsvirkjun will continue to focus on reducing leverage and further improving the operation and financials of the company”.