JAKARTA. PT Tiphone Mobile Indonesia Tbk (TELE) finally pulled itself from Fitch Ratings list, having received a negative rating for the past 4 years.
In 2015, the cellphone distributor company received "A- (idn)" rating with a stable outlook from Fitch Ratings. However, in 2016, Fitch has downgraded the outlook to negative.
TELE's rating has again dropped to "BBB + (idn) with a negative outlook in 2017. The following year, Fitch lowered the company's rating to" B + (idn) "with a negative outlook. The company's rating had risen one level to "BB- (idn) with a negative outlook in 2018, and was reaffirmed in March 2019.
"Fitch pulled the Tiphone rating because Tiphone has chosen to stop participating in the rating process," Fitch Ratings explained through an official statement received by idnfinancials.com today.
On the same occasion, Fitch also mentioned that companies with a national rating of "BB" have a high level of risk of default. "The 'BB' category shows higher risk of default compared to issuers or other debt securities," explained Fitch. (KR/AR)