Fitch Ratings demotes APLN’s rating
JAKARTA – Fitch Ratings declasses PT Agung Podomoro Land Tbk (APLN) and its Senior Bond of USD 300 million from CCC+ to CCC with the recovery rating stable at RR4. Corporate Secretary of Agung Podomoro Land, Justini Omas, relays the news in the information disclosure quoted on Wednesday (18/8).
“The rating demotion occurs as Fitch presumes the company’s liquidity would not cover any debt payment beyond the next six months,” Omas explains.
On July 15, 2021, Moody’s also lowered the rating for Senior Bond of USD 300 million to Caa1 with a constant negative outlook. The downgrade was decided after projecting APLN’s weakened liquidity in the next 12-18 months and its high leverage.
APL Realty Holdings Pte Ltd issued the senior bond in question on June 2, 2017. It was listed and traded on Singapore Exchange Securities Trading (SGDX). In December 2020, Fitch once upgraded its rating from CCC- to CCC due to the company’s capability in paying its debt towards Credit Opportunities II Pte LTD in advance. (LK/ZH)