13 December 2011
MUSCAT -- FitchRatings has maintained the credit rating of MB Holding & MB Petroleum Services to 'BB-' with stable outlook in a recent statement issued.
The financial metrics are commensurate with the 'BB-' credit rating and Fitch anticipates that they will stay in this range over our forecast period. The company's issue rating on $ 320 million senior unsecured bond issued by its finance subsidiary MB Finance Company is also kept at BB- aligned with the parent company.
The report also states that MB Holding Company has a stable outlook despite some operational difficulties at MB Petroleum Services. Stronger performances at other business units, such as oil production and mining, have offset the weaker performance at MB Petroleum Services.
Fitch views MB Holding Company's liquidity as broadly adequate. Near-term debt maturities are less of a concern than in 2010, due in part to the issuance of the $320mn Eurobond. Cash plus available credit lines are just enough to cover near-term debt maturities but additional financial flexibility is presently limited.
MB Holding Company has demonstrated access to both international debt capital markets and syndicated bank financing. Access to additional financing via local banks also appears satisfactory. Fitch anticipates that MB Holding Company has some additional financial flexibility available through a reduction in Capex, if needed.
MB Holding LLC is a group of companies with diversified presence in more than 20 countries, employing 6000 people from over 51 nationalities.
The Oman based dynamic group which started operations in the year 1982 has diversified businesses including drilling and integrated oilfield services, the exploration and production of oil and gas, investments, engineering, manufacturing and trading, and mining and processing of minerals.
For decades, in Oman and internationally, the company has achieved growth, efficiency and profitability with focus on quality, safety and teamwork.
Some of the key group companies are MB Petroleum Services, Petrogas E & P, Mawarid Mining Company and United Engineering Services.
MUSCAT -- FitchRatings has maintained the credit rating of MB Holding & MB Petroleum Services to 'BB-' with stable outlook in a recent statement issued.
The financial metrics are commensurate with the 'BB-' credit rating and Fitch anticipates that they will stay in this range over our forecast period. The company's issue rating on $ 320 million senior unsecured bond issued by its finance subsidiary MB Finance Company is also kept at BB- aligned with the parent company.
The report also states that MB Holding Company has a stable outlook despite some operational difficulties at MB Petroleum Services. Stronger performances at other business units, such as oil production and mining, have offset the weaker performance at MB Petroleum Services.
Fitch views MB Holding Company's liquidity as broadly adequate. Near-term debt maturities are less of a concern than in 2010, due in part to the issuance of the $320mn Eurobond. Cash plus available credit lines are just enough to cover near-term debt maturities but additional financial flexibility is presently limited.
MB Holding Company has demonstrated access to both international debt capital markets and syndicated bank financing. Access to additional financing via local banks also appears satisfactory. Fitch anticipates that MB Holding Company has some additional financial flexibility available through a reduction in Capex, if needed.
MB Holding LLC is a group of companies with diversified presence in more than 20 countries, employing 6000 people from over 51 nationalities.
The Oman based dynamic group which started operations in the year 1982 has diversified businesses including drilling and integrated oilfield services, the exploration and production of oil and gas, investments, engineering, manufacturing and trading, and mining and processing of minerals.
For decades, in Oman and internationally, the company has achieved growth, efficiency and profitability with focus on quality, safety and teamwork.
Some of the key group companies are MB Petroleum Services, Petrogas E & P, Mawarid Mining Company and United Engineering Services.
© Oman Daily Observer 2011
