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Brambles: Rating Affirmed

CREDIT RESEARCH

Brambles (BXBAU: Baa1 / BBB+): Moody’s affirm


Brambles were affirmed at Baa1 stable by Moody’s.

BXBAU 2.375% EUR 500m matures 12th June.

They last issued in Mar ‘23

Moody’s note:

  • Solid market position in world’s supply chain.
  • FCF expected to be positive over next 12-18 months.
  • Inflationary pressures have moderated.
  • Maintained Debt/EBITDA in 1.4-1.8x range for past 5yrs
  • Gross leverage expected to be 1.3-1.4x for next 12-18 months
  • The company could potentially increase leverage to 2x but this would still be within the threshold for the rating.

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