Free Trial

CONSUMER STAPLES: ITM Entreprises; S&P initiates (x2)

CONSUMER STAPLES

(ITMENT; NR/BBB- Neg) (private co)

S&P singing some praise here, including making clear the differences to Auchan's hypermarket heavy exposure. It notes €750m bridge-to-bond facility of which €300m has been refi'd (29s) - together with ratings indicative of imminent supply. 29s may screen value for some (-17 today at +250) but is trading on high cash px. Hard to see it pricing with IG peers as long as Auchan remains ~distressed and it's own ratings on neg. outlook. Re. reporting clarity issues we flagged in the past; S&P coverage will help. It has annual reports public (half year for this year but unclear if that is the norm) and we will get monthly market share data (Kantar) alongside comp earnings from Auchan (half-yearly), Carrefour (quarterly) and Casino (quarterly).

Keep reading...Show less
378 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

(ITMENT; NR/BBB- Neg) (private co)

S&P singing some praise here, including making clear the differences to Auchan's hypermarket heavy exposure. It notes €750m bridge-to-bond facility of which €300m has been refi'd (29s) - together with ratings indicative of imminent supply. 29s may screen value for some (-17 today at +250) but is trading on high cash px. Hard to see it pricing with IG peers as long as Auchan remains ~distressed and it's own ratings on neg. outlook. Re. reporting clarity issues we flagged in the past; S&P coverage will help. It has annual reports public (half year for this year but unclear if that is the norm) and we will get monthly market share data (Kantar) alongside comp earnings from Auchan (half-yearly), Carrefour (quarterly) and Casino (quarterly).

Keep reading...Show less