December 31, 2024 08:27 GMT
EM CEEMEA CREDIT: SAFTRA: Six-month results to Sep 30, neutral for spreads
EM CEEMEA CREDIT
Transnet (SAFTRA; Ba3neg/BB-CWN/-)
Six-month results to Sep 30, neutral for spreads
- SAFTRA 8.25 Feb28 z-spread has tightened since Sep 30, 2024 and currently quotes @ z+340bp, near the tight end of the recent spread range (see chart below).
- SAFTRA published its unaudited consolidated results for the six-month period ending September 30, 2024, during which SAFTRA posted a loss of ZAR2.2bn for the period. EBITDA is reported @ ZAR13.8bn -1.6% YoY. CAPEX requirement was ZAR10.5bn.
- In its statement, SAFTRA also reports having requested and obtained waivers to avoid triggering an event of default with regards to Cash Interest Cover loan covenants.
- Management remains focussed on delivering the recovery plan, addressing infrastructure challenges and boosting logistics services across South Africa.
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