Scope Hamburg has confirmed the BB+ issuer credit rating of Hungarian gas distributor OPUS TIGÁZ Gázhálózati Zrt. with a stable outlook. At the same time the issuance rating for the 2021/31 senior unsecured bonds was confirmed at BB+.
The BB+ issuer credit rating is mainly driven by low to moderate business risks due to an established market regulation, a territory-based gas distribution licence, predictable distribution volumes/tariffs and largely efficient operations leading to robust sector benchmark scores. Consistently high financial debt levels slightly weight on the issuer credit rating of OPUS TIGÁZ. The rating outlook remains stable.
The BB+ issuance rating of the 2021/31 senior unsecured bonds with a total issuance volume of HUF 50bn maturing in 2031 is mainly driven by the current issuer credit rating (BB+), the bond’s structural ranking, reasonable creditor rights and adequate recovery expectations in a hypothetical bond default scenario.
OPUS TIGÁZ is the largest natural gas distribution system operator (DSO) in Hungary and distributes over 2 billion cubic metres of natural gas annually (c. 32% of total domestic consumption) to 1.2 million customers (c. 36% of all connected households in Hungary) via a 33,800 km long pipeline network (c. 42% of the national grid). OPUS TIGÁZ operations are concentrated in the North-Eastern regions of Hungary serving customers in 1,092 municipalities. At the end of 2020, OPUS TIGÁZ employed a workforce of 935 (2019: 1,088) and had generated net sales totalling HUF 35.3bn (2019: HUF 32.3bn) based on regulated gas distribution tariffs.
Scope Hamburg GmbH (formerly Euler Hermes Rating GmbH) was founded in 2001 as an independent European rating agency focusing on issuer and issuance ratings. Scope Hamburg GmbH is registered as a credit rating agency (CRA) in accordance with Regulation (EC) No 1060/2009 of the European Parliament and Council (as amended) and is considered as an external credit assessment institution (ECAI) by the European Banking Authority (EBA). Scope Hamburg GmbH is a subsidiary of Scope Group, the leading European provider of independent credit ratings, ESG analyses and fund analyses.
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