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04.07.2006
uaBBB+ credit rating assigned to upcoming bond issue of CJSC "Galneftechim", Ltd
Today independent rating agency Credit-Rating announced the granting of a long-term uaBBB+ credit rating to the registered interest-bearing bond issue (B series) by CJSC Galneftekhim (Lviv) in the amount of UAH 5 million with a circulation of 3 years. The company mainly sells mineral fertilizers and plant-protecting agents.
Factors supporting the credit rating's level:
- The Issuer has ten years of successful experience in trade of products for agriculture and is one of the largest trading companies in Western Ukraine, selling mineral fertilizers and other products for agriculture through well-known regional network Fermer consisting of 11 agro-centers and 3 agro-stores;
- The company takes about 35% of market in five regions of Western Ukraine and intensifies its regional positions through expansion of its trading network that includes storage facilities;
- Increase of the Issuers assets in 2001-2005 and the first quarter 2006 by 10 times to UAH 44.2 million and of the owned capital by 7 times to UAH 16.6 million, the net sales volume grew from UAH 32.4 million in 2001 to 96.5 million in 2005;
- The issue volume (UAH 5 million) is three times less than the owned capital volume and could be compared to the amount of net income in 2005.
Factors restricting the credit rating's level:
- The Issuers activity is susceptible to changes in the state policy in agricultural and industrial complex and seasonable nature of demand for its products;
- high volatility of solvable demand for products for agriculture.
For more detailed information, please contact us.
Kyiv (+38044 490 25 50, fax +38044 490 25 54)
