“We are pleased to receive the first credit rating in the history of our company, which level reflects the strong financial position of RosGeo, the company qualitative contractual base and systemic significance of the Holding to the Russian economy, — said Sergey Gorkov, the Director General — Chairman of the Board of RosGeo. — Getting the credit rating of ACRA is an important step in our plans to enter the market of corporate bonds, which placement proceeds will be directed to fund the investment program aimed at further upgrading of the capital assets for effective development of RosGeo within the approved long-term strategy until 2025, as well as to refund the current short-term loans.”
“As the organizer of the issue of RosGeo securities we welcome the assignment to the company with a high credit rating of ACRA,” said Mikhail Avtukhov, the Deputy Chairman of the Board — Head of the Corporate Investment Unit of Sovkombank. — The debut placement of bonds of the largest exploration holding in Russia, scheduled for the beginning of 2021, will contribute to the further improvement of the financial and production efficiency of RosGeo and to the overall development of the national geologic exploration industry. We are confident that entry at the market of a new qualitative issuer of corporate bonds such as RosGeo will be one of the most significant financial market events of the first half of 2021.“
The assessment of RosGeo creditworthiness is substantiated by the sustainable business profile, which is based on the strong role of the company as the contractor in the state order in terms of reproduction of the mineral and raw materials base of the country, increasing share of the Holding involvement in commercial projects, a stable market position thanks to the smart business diversification in view of performance of the various types of the geological survey activities, presence of the company in various regions of the Russian Federation and at foreign markets, as well as the level of the corporate governance.
According to the assessment of ACRA, the financial profile of RosGeo is characterized with a medium debt leverage and good liquidity position.
The forecast “Stable” assigned by ACRA assumes the immutability of RosGeo rating in the horizon of 12-18 months with a high degree of probability.
