Upward revision of Saipem’s rating by S&P Global Ratings (“S&P”), from BB- to BB, with a positive outlook.
A decision by S&P comes following the decision of Eni and CDP Industria SpA (CDP) to support the company by participating in a capital increase subscribed for 2 billion euros.
“With its completion in the coming months, Saipem’s balance sheet and liquidity will improve substantially,” says S&P which believes this, coupled with the company’s portfolio review and identification of areas for improvement, will reduce downside risks.
The positive outlook reflects the fact that S&P could increase Saipem’s rating if the company is able to complete its business plan in the next 6-12 months and restore its historic track record of disciplined performance and higher profitability.