/raid1/www/Hosts/bankrupt/TCREUR_Public/220224.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
E U R O P E
Thursday, February 24, 2022, Vol. 23, No. 34
Headlines
B U L G A R I A
[*] BULGARIA: Company Insolvencies Increase by 13% in 2021
C R O A T I A
SELECTION MM: Zagreb Court Opens Pre-Bankruptcy Proceedings
I R E L A N D
BLACKROCK EUROPEAN VIII: Fitch Rates Class F-R Debt 'B-'
CARLYLE GLOBAL 2015-2: Fitch Rates Class E-R Notes 'B-'
CARLYLE GLOBAL 2015-2: Moody's Assigns B3 Rating to Cl. E-R Notes
GOLDENTREE LOAN 2: Fitch Affirms 'B-' Rating on Class F Notes
HARVEST CLO VIII: Fitch Raises Rating on Class F-R Notes to 'B+'
HARVEST CLO XVI: Fitch Raises Rating on Class F-R Notes to 'B'
MONTMARTRE EURO 2020-2: Fitch Affirms 'B-' Rating on Cl. F-R Notes
SEGOVIA EUROPEAN 4-2017: Moody's Affirms B2 Rating on Cl. F Notes
I T A L Y
BLUTEC SPA: March 11 Bid Submission Deadline Set for BU Chemical
S P A I N
TECPETROL INTERNACIONAL: Fitch Affirms 'BB' IDRs, Outlook Stable
U N I T E D K I N G D O M
ADLER: Vonovia Seizes 20.5% Stake Following Failed Margin Call
AZURE FINANCE 2: Moody's Affirms Caa1 Rating on GBP6.1MM F Notes
KEENAN BUS: Goes Into Liquidation, 18 Jobs Affected
RUBIX GROUP: Moody's Affirms 'B3' CFR, Outlook Remains Stable
SHAKES2GO: Enters Liquidation, Grosvenor Store Closed
- - - - -
===============
B U L G A R I A
===============
[*] BULGARIA: Company Insolvencies Increase by 13% in 2021
----------------------------------------------------------
Vasil Kolchev at SeeNews reports that Bulgarian company
insolvencies increased by 13% as compared to 2021 and were 1.6%
higher as compared to the pre-pandemic 2019, local media reported.
Over 12,900 companies were declared bankrupt, entered insolvency
proceedings or liquidation, or were struck off the register,
business news outlet Capital.bg reported on Feb. 21, citing data
from the country's registry agency, SeeNews relates.
=============
C R O A T I A
=============
SELECTION MM: Zagreb Court Opens Pre-Bankruptcy Proceedings
-----------------------------------------------------------
Lauren Simmonds at Total Croatia News reports that on February 20,
2022, Selection MM, a very well-known Croatian luxury food importer
owned by Marijo Mendek, has unfortunately entered pre-bankruptcy
proceedings.
As Poslovni Dnevnik writes, the Commercial Court in Zagreb has
opened the pre-bankruptcy proceedings of Selection MM, Total
Croatia News relates. According to Total Croatia News, the move
was initiated at Mr. Mendek's own request due to "threats of
insolvency" as well as blocked accounts and an established debt of
about HRK219,000.
In his own proposal, Mr. Mendek also listed the assets owned by MM
Selection, which also includes the MM building in Ilica in Zagreb's
Kustosija, three Citroen delivery vehicles and a mini cooper one,
Total Croatia News discloses. He has also listed the claims of MM
Selection against almost 70 debtors which amounts to a massive
HRK1.77 million, Total Croatia News states.
=============
I R E L A N D
=============
BLACKROCK EUROPEAN VIII: Fitch Rates Class F-R Debt 'B-'
--------------------------------------------------------
Fitch Ratings has assigned Blackrock European CLO VIII DAC Reset
final ratings.
DEBT RATING PRIOR
---- ------ -----
BlackRock European CLO VIII DAC
A-1 XS1984234242 LT PIFsf Paid In Full AAAsf
A-2 XS1984235132 LT PIFsf Paid In Full AAAsf
A-R XS2439754925 LT AAAsf New Rating
B-1 XS1984236023 LT PIFsf Paid In Full AAsf
B-1-R XS2439755062 LT AAsf New Rating
B-2 XS1984236700 LT PIFsf Paid In Full AAsf
B-2-R XS2439755146 LT AAsf New Rating
C-1 XS1984237344 LT PIFsf Paid In Full Asf
C-2 XS1984238078 LT PIFsf Paid In Full Asf
C-3 XS1984238664 LT PIFsf Paid In Full Asf
C-R XS2439755229 LT Asf New Rating
D-1 XS1984239472 LT PIFsf Paid In Full BBB-sf
D-2 XS1984240132 LT PIFsf Paid In Full BBB-sf
D-R XS2439755575 LT BBB-sf New Rating
E XS1984240728 LT PIFsf Paid In Full BBsf
E-R XS2439755492 LT BB-sf New Rating
F XS1984240645 LT PIFsf Paid In Full B-sf
F-R XS2439755658 LT B-sf New Rating
TRANSACTION SUMMARY
BlackRock European CLO VIII DAC is a securitisation of mainly
senior secured obligations (at least 90%) with a component of
corporate-rescue loans, senior unsecured, mezzanine, second-lien
loans and high-yield bonds. The transaction originally closed in
June 2019, and its secured notes (except the subordinated notes)
are being refinanced in whole from proceeds of the new secured
notes. The portfolio with a target par of EUR400 million is
actively managed by BlackRock Investment Management (UK) Limited.
The collateralised loan obligation (CLO) envisages a 4.5-year
reinvestment period and an 8.5-year weighted average life (WAL).
KEY RATING DRIVERS
Average Portfolio Credit Quality (Neutral): Fitch places the
average credit quality of obligors in the 'B' category. The
Fitch-weighted average rating factor (WARF) of the portfolio is
24.3.
High Recovery Expectations (Positive): At least 90% of the
portfolio will comprise senior secured obligations. Fitch views the
recovery prospects for these assets as more favourable than for
second-lien, unsecured and mezzanine assets. The Fitch-weighted
average recovery rate (WARR) of the portfolio is 63.5%.
Diversified Asset Portfolio (Positive): The transaction includes a
top-10 obligor limit at 18%, and a fixed-rate asset limit at 12.5%.
The transaction also includes various concentration limits,
including a maximum exposure to the three largest (Fitch-defined)
industries in the portfolio at 40%. These covenants ensure the
asset portfolio will not be exposed to excessive concentration.
Portfolio Management (Neutral): The transaction has a 4.5-year
reinvestment period and includes reinvestment criteria similar to
those of other European transactions. Fitch's analysis is based on
a stressed-case portfolio with the aim of testing the robustness of
the transaction structure against its covenants and portfolio
guidelines.
Cash Flow Modelling (Neutral): The WAL used for the transaction
stressed portfolio and matrices analysis is 12 months less than the
WAL covenant to account for structural and reinvestment conditions
after the reinvestment period, including the satisfaction of the
over-collateralisation and Fitch 'CCC' limit tests, together with a
progressively decreasing WAL covenant. These conditions would in
the agency's opinion reduce the effective risk horizon of the
portfolio during stress periods.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- A 25% increase of the mean RDR across all ratings and a 25%
decrease of the recovery rate (RRR) across all ratings would
result in downgrades of up to four notches cross the
structure.
-- Downgrades may occur if the build-up of the notes' credit
enhancement following amortisation does not compensate for a
large loss expectation than initially assumed, due to
unexpectedly high levels of defaults and portfolio
deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A 25% reduction of the mean RDR across all ratings and a 25%
increase in the RRR across all ratings would result in
upgrades of no more than two notches across the structure,
apart from the class A notes, which are already at the highest
rating on Fitch's scale and cannot be upgraded.
-- After the end of the reinvestment period, upgrades may occur
on better-than-expected portfolio credit quality and deal
performance, leading to higher credit enhancement and excess
spread available to cover losses in the remaining portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
CARLYLE GLOBAL 2015-2: Fitch Rates Class E-R Notes 'B-'
-------------------------------------------------------
Fitch Ratings has assigned Carlyle Global Market Strategies Euro
CLO 2015-2 DAC's refinancing notes final ratings.
DEBT RATING PRIOR
---- ------ -----
Carlyle Global Market Strategies Euro CLO 2015-2 DAC
A-1-RR XS2432571078 LT AAAsf New Rating AAA(EXP)sf
A-1A-R XS1665115421 LT PIFsf Paid In Full AAAsf
A-1B-R XS1665115777 LT PIFsf Paid In Full AAAsf
A-2A-R XS1665115934 LT PIFsf Paid In Full AAAsf
A-2A-RR XS2432571235 LT AAsf New Rating AA(EXP)sf
A-2B-R XS1665116155 LT PIFsf Paid In Full AAAsf
A-2B-RR XS2432571581 LT AAsf New Rating AA(EXP)sf
B-R XS1665116239 LT PIFsf Paid In Full AAAsf
B-RR XS2432571748 LT Asf New Rating A(EXP)sf
C-R XS1665116312 LT PIFsf Paid In Full A+sf
C-RR XS2432572043 LT BBB-sf New Rating BBB-(EXP)sf
D-R XS1665116742 LT PIFsf Paid In Full BB+sf
D-RR XS2432572399 LT BB-sf New Rating BB-(EXP)sf
E XS1257961331 LT PIFsf Paid In Full B+sf
E-R XS2432572555 LT B-sf New Rating B-(EXP)sf
TRANSACTION SUMMARY
Carlyle Global Market Strategies Euro CLO 2015-2 DAC is a
securitisation of mainly senior secured obligations (at least 90%)
with a component of corporate rescue loans, senior unsecured,
mezzanine, second-lien loans and high-yield bonds. Net proceeds
from the note issuance are being used to redeem the outstanding
rated notes and to fund a portfolio with a target size of EUR400
million. The portfolio is managed by CELF Advisors LLP (part of The
Carlyle Group LP). The collateralised loan obligation (CLO)
envisages a 4.7-year reinvestment period and an 8.7-year weighted
average life (WAL).
KEY RATING DRIVERS
Average Portfolio Credit Quality (Neutral): Fitch assesses the
average credit quality of obligors at 'B'/'B-'. The Fitch weighted
average rating factor (WARF) of the identified portfolio is 26.5.
Strong Recovery Expectation (Positive): At least 90% of the
portfolio will comprise senior secured obligations. Fitch views the
recovery prospects for these assets as more favourable than for
second-lien, unsecured and mezzanine assets. The Fitch weighted
average recovery rate (WARR) of the identified portfolio is 62.8%.
Diversified Portfolio (Positive): The transaction has three Fitch
matrices, two of which are effective at closing, and corresponding
to a top-10 obligor concentration limit at 20%, two fixed-rate
asset limits of 12.5% and 7.5% respectively, and an 8.7-year WAL.
The other matrix can be selected by the manager at any time from
one year after closing as long as the portfolio balance (including
defaulted obligations at their Fitch collateral value) is above
target par and corresponding to a top-10 obligor concentration
limit at 20%, a fixed-rate asset limit at 12.5% and a 7.7-year
WAL.
The transaction also includes various concentration limits,
including a maximum exposure to the three- largest Fitch-defined
industries in the portfolio at 40%. These covenants ensure that the
asset portfolio will not be exposed to excessive concentration.
Portfolio Management (Neutral): The transaction has a 4.7-year
reinvestment period and includes reinvestment criteria similar to
those of other European transactions. Fitch's analysis is based on
a stressed-case portfolio with the aim of testing the robustness of
the transaction structure against its covenants and portfolio
guidelines.
Cash flow Modelling (Positive): The WAL used for the transaction's
stressed portfolio and matrices analysis is 12 months less than the
WAL covenant to account for structural and reinvestment conditions
after the reinvestment period, including the satisfaction of the
over-collateralisation and Fitch 'CCC' limit tests, together with a
linearly decreasing WAL covenant. In the agency's opinion, these
conditions reduce the effective risk horizon of the portfolio
during stress periods.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- A 25% increase of the mean default rate (RDR) across all
ratings and a 25% decrease of the recovery rate (RRR) across
all ratings would result in downgrades of up to five notches
across the structure.
-- Downgrades may occur if the build-up of the notes' credit
enhancement following amortisation does not compensate for a
larger loss expectation than initially assumed, due to
unexpectedly high levels of defaults and portfolio
deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A 25% reduction of the mean RDR across all ratings and a 25%
increase in the RRR across all ratings would result in
upgrades of no more than five notches across the structure,
apart from the class A-1-RR notes, which are already at the
highest rating on Fitch's scale and therefore cannot be
upgraded.
-- After the end of the reinvestment period, upgrades may occur
on better-than-expected portfolio credit quality and deal
performance, leading to higher credit enhancement and excess
spread available to cover losses in the remaining portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
CARLYLE GLOBAL 2015-2: Moody's Assigns B3 Rating to Cl. E-R Notes
-----------------------------------------------------------------
Moody's Investors Service announced that it has assigned the
following definitive ratings to refinancing notes issued by Carlyle
Global Market Strategies Euro CLO 2015-2 DAC (the "Issuer"):
EUR248,000,000 Class A-1-R Senior Secured Floating Rate Notes due
2035, Definitive Rating Assigned Aaa (sf)
EUR26,500,000 Class A-2A-R Senior Secured Floating Rate Notes due
2035, Definitive Rating Assigned Aa2 (sf)
EUR12,500,000 Class A-2B-R Senior Secured Fixed Rate Notes due
2035, Definitive Rating Assigned Aa2 (sf)
EUR24,400,000 Class B-R Senior Secured Deferrable Floating Rate
Notes due 2035, Definitive Rating Assigned A2 (sf)
EUR29,600,000 Class C-R Senior Secured Deferrable Floating Rate
Notes due 2035, Definitive Rating Assigned Baa3 (sf)
EUR20,200,000 Class D-R Senior Secured Deferrable Floating Rate
Notes due 2035, Definitive Rating Assigned Ba3 (sf)
EUR11,200,000 Class E-R Senior Secured Deferrable Floating Rate
Notes due 2035, Definitive Rating Assigned B3 (sf)
RATINGS RATIONALE
The rationale for the ratings is based on a consideration of the
risks associated with the CLO's portfolio and structure as
described in Moody's methodology.
As part of this reset, the Issuer has amended the base matrix and
modifiers that Moody's has taken into account for the assignment of
the definitive ratings.
As part of this refinancing, the Issuer has extended the
reinvestment period by 4.7 years to 4.7 years and the weighted
average life by 2.9 years to 8.7 years. It has also amended certain
concentration limits, definitions including the definition of
"Adjusted Weighted Average Rating Factor" and minor features. The
issuer has included the ability to hold loss mitigation
obligations. In addition, the Issuer has amended the base matrix
and modifiers that Moody's has taken into account for the
assignment of the definitive ratings.
The Issuer is a managed cash flow CLO. At least 90% of the
portfolio must consist of secured senior loans or senior secured
bonds and up to 10% of the portfolio may consist of unsecured
senior loans, second-lien loans, high yield bonds and mezzanine
loans. The underlying portfolio is expected to be approximately 55%
ramped as of the closing date. The remainder of the portfolio will
be acquired during the five month ramp-up period in compliance with
the portfolio guidelines.
CELF Advisors LLP ("CELF") will continue to manage the CLO. It will
direct the selection, acquisition and disposition of collateral on
behalf of the Issuer and may engage in trading activity, including
discretionary trading, during the transaction's 4.7-year
reinvestment period. Thereafter, subject to certain restrictions,
purchases are permitted using principal proceeds from unscheduled
principal payments and proceeds from sales of credit risk
obligations and credit improved obligations.
The transaction incorporates interest and par coverage tests which,
if triggered, divert interest and principal proceeds to pay down
the notes in order of seniority.
In addition to the seven classes of notes rated by Moody's, the
Issuer will increase the Subordinated Notes which were originally
issued to a total of Euro47.9 million which are not rated.
Methodology Underlying the Rating Action:
The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
December 2021.
Factors that would lead to an upgrade or downgrade of the ratings:
The rated notes' performance is subject to uncertainty. The notes'
performance is sensitive to the performance of the underlying
portfolio, which in turn depends on economic and credit conditions
that may change. The collateral manager's investment decisions and
management of the transaction will also affect the notes'
performance.
Moody's modeled the transaction using a cash flow model based on
the Binomial Expansion Technique, as described in Section 2.3 of
the "Moody's Global Approach to Rating Collateralized Loan
Obligations" rating methodology published in December 2021.
Moody's used the following base-case modeling assumptions:
Target Par Amount: EUR400,000,000
Diversity Score: 51
Weighted Average Rating Factor (WARF): 3108
Weighted Average Spread (WAS): 3.60%
Weighted Average Coupon (WAC): 4.50%
Weighted Average Recovery Rate (WARR): 44.5%
Weighted Average Life (WAL): 7.7 years
GOLDENTREE LOAN 2: Fitch Affirms 'B-' Rating on Class F Notes
-------------------------------------------------------------
Fitch Ratings has upgraded GoldenTree Loan Management EUR CLO 2
DAC's class D notes and affirmed the other classes. The class B-1-A
through F notes have been removed from Under Criteria Observation
(UCO). The Outlooks are Stable.
DEBT RATING PRIOR
---- ------ -----
GoldenTree Loan Management EUR CLO 2 DAC
A XS1911601000 LT AAAsf Affirmed AAAsf
B-1-A XS1911601349 LT AAsf Affirmed AAsf
B-1-B XS1914357022 LT AAsf Affirmed AAsf
B-2 XS1911601778 LT AAsf Affirmed AAsf
C-1-A XS1911602073 LT Asf Affirmed Asf
C-1-B XS1914370553 LT Asf Affirmed Asf
D XS1911602313 LT BBBsf Upgrade BBB-sf
E XS1911602669 LT BB-sf Affirmed BB-sf
F XS1911602743 LT B-sf Affirmed B-sf
TRANSACTION SUMMARY
GoldenTree Loan Management EUR CLO 2 DAC is a cash flow CLO mostly
comprising senior secured obligations. The transaction is actively
managed by GoldenTree Loan Management, LP and will exit its
reinvestment period in July 2023.
KEY RATING DRIVERS
CLO Criteria Update: The rating actions mainly reflect the impact
of Fitch's recently updated CLOs and Corporate CDOs Rating Criteria
and the shorter risk horizon incorporated in Fitch's updated
stressed portfolio analysis. The analysis considered cash flow
modelling results for the current and stressed portfolios based on
the 5 January 2022 trustee report.
Fitch's updated analysis applied the agency's collateral quality
matrix specified in the transaction documentation. The transaction
has two matrices, based on 16% and 20% top 10 obligor concentration
limits. Fitch analysed the matrix specifying the 16% top 10 obligor
limit as it is the closest to the portfolio's current
concentration. When analysing the matrix, Fitch applied a haircut
of 1.5% to the weighted average recovery rate (WARR) as the
calculation in the transaction documentation is not in line with
the latest CLO criteria.
The Stable Outlooks on all classes reflect Fitch's expectation that
the classes have sufficient levels of credit protection to
withstand potential deterioration in the credit quality of the
portfolio in stress scenarios commensurate with the ratings.
Deviation from Model-Implied Ratings: With the exception of the
class A, E and F notes, the ratings are one notch below their
respective model-implied ratings. The deviations reflect the
remaining reinvestment period until July 2023, during which the
portfolio can change significantly, due to reinvestment or negative
portfolio migration.
Stable Asset Performance: The transaction's metrics indicate stable
asset performance. The transaction is passing all coverage tests,
collateral quality tests, and portfolio profile tests. Exposure to
assets with a Fitch-derived rating (FDR) of 'CCC+' and below is
4.9% excluding non-rated assets, as calculated by the trustee.
'B'/'B-' Portfolio: Fitch assesses the average credit quality of
the transaction's underlying obligors in the 'B'/'B-' category. The
weighted average rating factor (WARF), as calculated by the
trustee, was 33.7, which is below the maximum covenant of 37.0. The
WARF as calculated by Fitch under the updated criteria was 25.1.
High Recovery Expectations: Senior secured obligations comprise
96.2% of the portfolio as calculated by the trustee. Fitch views
the recovery prospects for these assets as more favourable than for
second-lien, unsecured and mezzanine assets. The Fitch WARR
reported by the trustee was 67.0%, against the covenant at 66.7%.
Diversified Portfolio: The portfolio is well-diversified across
obligors, countries and industries. The top 10 obligor
concentration is 14.4%, and no obligor represents more than 2.0% of
the portfolio balance, as reported by the trustee.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- An increase of the default rate (RDR) at all rating levels by
25% of the mean RDR and a decrease of the recovery rate (RRR)
by 25% at all rating levels in the stressed portfolio would
result in downgrades of up to four notches, depending on the
notes.
-- Downgrades may occur if the build-up of the notes' credit
enhancement (CE) following amortisation does not compensate
for a larger loss expectation than initially assumed, due to
unexpectedly high levels of defaults and portfolio
deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A reduction of the RDR at all rating levels by 25% of the mean
RDR and an increase in the RRR by 25% at all rating levels in
the stressed portfolio would result in upgrades of up to five
notches, depending on the notes.
-- Except for the tranches rated at the highest 'AAAsf', upgrades
may occur in case of better-than- expected portfolio credit
quality and deal performance, and continued amortisation that
leads to higher credit enhancement and excess spread available
to cover losses in the remaining portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
GoldenTree Loan Management EUR CLO 2 DAC
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk presenting entities
have ratings or credit opinions from Fitch and/or other Nationally
Recognized Statistical Rating Organizations and/or European
Securities and Markets Authority registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk presenting entities.Overall,
and together with any assumptions referred to above, Fitch's
assessment of the information relied upon for the agency's rating
analysis according to its applicable rating methodologies indicates
that it is adequately reliable.
HARVEST CLO VIII: Fitch Raises Rating on Class F-R Notes to 'B+'
----------------------------------------------------------------
Fitch Ratings has upgraded Harvest CLO VIII DAC's class B-1RR to
F-R notes, and removed them from Under Criteria Observation (UCO).
The Outlooks on the class B-1RR to F-R notes are Positive.
DEBT RATING PRIOR
---- ------ -----
Harvest CLO VIII DAC
A-RR XS1754145842 LT AAAsf Affirmed AAAsf
B-1RR XS1754143557 LT AA+sf Upgrade AAsf
B-2RR XS1754144019 LT AA+sf Upgrade AAsf
C-R XS1754144795 LT A+sf Upgrade Asf
D-R XS1754145172 LT BBB+sf Upgrade BBBsf
E-R XS1754145503 LT BB+sf Upgrade BBsf
F-R XS1754145255 LT B+sf Upgrade Bsf
TRANSACTION SUMMARY
Harvest CLO VIII DAC is a cash flow CLO mostly comprising senior
secured obligations. The transaction is actively managed by
Investcorp Credit Management EU Limited, and the transaction exited
its reinvestment period on 15 January 2022 but has not yet started
to amortise.
KEY RATING DRIVERS
CLO Criteria Update: The upgrades mainly reflect the impact of the
recently updated Fitch CLOs and Corporate CDOs Rating Criteria
(including, among others, a change in the underlying default
assumptions). The upgrade analysis was based on a scenario that
assumes a one-notch downgrade of the Fitch Issuer Default Rating
(IDR) Equivalency Rating for obligor assets with a Negative
Outlook.
Reinvestment Period Ended: The transaction's reinvestment period
ended in January 2022. The transaction is passing all collateral
quality and portfolio profile, which allows the manager to reinvest
unscheduled collateral amortisation, credit-impaired or
credit-improved sales.
The upgrade and Positive Outlook on the class B-1RR to F-R notes
also reflect expected deleveraging following the transaction's exit
of reinvestment period. Fitch expects credit enhancement (CE) to
improve across all rated notes.
Deviation from Model-implied Rating: The ratings for the class
B-1RR, B-2RR, D-R, and E-R notes are one notch lower than their
model-implied ratings, and the class F-R rating is two notches
lower than the model-implied rating. The rating deviation reflects
the small break-even default rate cushion at the model-implied
ratings, which could erode if the portfolio's performance
deteriorates or due to the manager's trading flexibility.
Stable Asset Performance: The transaction's metrics indicate stable
asset performance. As of the January 2022 trustee report, the
aggregate portfolio amount was 1.72% below the original target par
amount. The transaction passed all collateral-quality, coverage and
portfolio-profile tests. Exposure to assets with a Fitch-derived
rating of 'CCC+' and below (excluding non-rated assets) is 3.82% as
calculated by the trustee.
Diversified Portfolio: The portfolio is well-diversified across
obligors, countries and industries. The top-10 obligor
concentration is 14.32%, and no obligor represents more than 1.66%
of the portfolio balance as calculated by Fitch.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- An increase of the default rate (RDR) at all rating levels by
25% of the mean RDR and a decrease of the recovery rate (RRR)
by 25% at all rating levels in the stressed portfolio would
result in downgrades of up to three notches, depending on the
notes.
-- Downgrades may occur if the build-up of the notes' credit
enhancement following amortisation does not compensate for a
larger loss expectation than initially assumed, due to
unexpectedly high levels of defaults and portfolio
deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A reduction of the RDR at all rating levels by 25% of the mean
RDR and an increase in the RRR by 25% at all rating levels in
the stressed portfolio would result in upgrades of up to six
notches, depending on the notes.
-- Except for the tranches rated at the highest 'AAAsf', upgrades
may occur in case of better-than- expected portfolio credit
quality and deal performance, and continued amortisation that
leads to higher credit enhancement and excess spread available
to cover losses in the remaining portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
HARVEST CLO XVI: Fitch Raises Rating on Class F-R Notes to 'B'
--------------------------------------------------------------
Fitch Ratings has upgraded Harvest CLO XVI DAC's class D-RR, E-R
and F-R notes, and removed B-1-RR to F-R notes from Under Criteria
Observation (UCO). The rest is affirmed.
DEBT RATING PRIOR
---- ------ -----
Harvest CLO XVI DAC
A-RR XS2304366227 LT AAAsf Affirmed AAAsf
B-1-RR XS2304367035 LT AAsf Affirmed AAsf
B-2-RR XS2304367894 LT AAsf Affirmed AAsf
C-RR XS2304368603 LT Asf Affirmed Asf
D-RR XS2304373439 LT BBBsf Upgrade BBB-sf
E-R XS1890819011 LT BBsf Upgrade BB-sf
F-R XS1890817585 LT Bsf Upgrade B-sf
TRANSACTION SUMMARY
Harvest CLO XVI DAC is a cash flow CLO mostly comprising senior
secured obligations. The transaction is actively managed by
Investcorp Credit Management EU Limited and will exit its
reinvestment period in April 2023.
KEY RATING DRIVERS
CLO Criteria Update: The rating actions mainly reflect the impact
of the recently updated Fitch CLOs and Corporate CDOs Rating
Criteria and the shorter risk horizon incorporated in Fitch's
updated stressed portfolio analysis. The analysis considered cash
flow modelling results for the stressed portfolio based on the 6
January 2022 trustee report.
The rating actions are based on Fitch's updated stressed portfolio
analysis, which applied the agency's collateral-quality matrix
specified in the transaction documentation. Fitch used the
transaction's matrix corresponding to 20% top 10-obligor
concentration and 10% fixed-rate asset limits. Fitch also applied a
haircut of 1.5% to the weighted average recovery rate (WARR) as the
calculation of the WARR in transaction documentation reflects an
earlier version of Fitch's CLO criteria.
The weighted average life (WAL) used for the transaction's stressed
portfolio and matrix analysis is floored at six years after a
12-month reduction from the WAL covenant. This is to account for
structural and reinvestment conditions after the reinvestment
period, including the satisfaction of the coverage and Fitch 'CCC'
limit tests, together with a progressively decreasing WAL covenant.
These conditions, in the agency's opinion, reduces the effective
risk horizon of the portfolio during stress periods.
The Stable Outlooks on all notes reflect Fitch's expectation of
sufficient credit protection to withstand potential deterioration
in the credit quality of the portfolio in stress scenarios
commensurate with their ratings.
Deviation from Model-Implied Ratings: The ratings on all notes,
except the class A-RR notes, are one notch below their respective
model-implied ratings. The deviations reflect the long remaining
reinvestment period till April 2023, during which the portfolio can
change significantly due to reinvestment or negative portfolio
migration.
Stable Asset Performance: The transaction's metrics indicate stable
asset performance. The transaction is also in compliance with all
collateral- quality, coverage and portfolio-profile tests. Exposure
to assets with a Fitch-derived rating of 'CCC+' and below
(excluding non-rated assets) is 5.33% as calculated by Fitch.
B'/'B-' Portfolio: Fitch assesses the average credit quality of the
transaction's underlying obligors at 'B'/'B-'. The weighted average
rating factor (WARF) as calculated by the trustee was 34.1, which
is below the maximum covenant of 35. Fitch calculated the WARF at
25.8 under its updated criteria.
High Recovery Expectations: Senior secured obligations comprise
99.2% of the portfolio. Fitch views the recovery prospects for
these assets as more favourable than for second-lien, unsecured and
mezzanine assets.
Diversified Portfolio: The portfolio is well-diversified across
obligors, countries and industries. The top- 10 obligor
concentration is 14.5% and no obligor represents more than 1.7% of
the portfolio balance as calculated by Fitch.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- An increase of the default rate (RDR) at all rating levels by
25% of the mean RDR and a decrease of the recovery rate (RRR)
by 25% at all rating levels in the stressed portfolio would
result in downgrades of up to three notches, depending on the
notes.
-- Downgrades may occur if the build-up of the notes' credit
enhancement (CE) following amortisation does not compensate
for a larger loss expectation than initially assumed, due to
unexpectedly high levels of defaults and portfolio
deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A reduction of the RDR at all rating levels by 25% of the mean
RDR and an increase in the RRR by 25% at all rating levels in
the stressed portfolio would result in upgrades of up to five
notches, depending on the notes.
-- Except for the tranches already at the highest 'AAAsf' rating,
upgrades may occur on better-than- expected portfolio credit
quality and deal performance, and continued amortisation that
leads to higher CE and excess spread available to cover losses
in the remaining portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
MONTMARTRE EURO 2020-2: Fitch Affirms 'B-' Rating on Cl. F-R Notes
------------------------------------------------------------------
Fitch Ratings has upgraded Montmartre Euro CLO 2020-2 DAC 's class
D-R and E-R notes, and affirmed the rest. Fitch has also removed
the class B-R to F-R notes from Under Criteria Observation (UCO).
The Outlook is Stable.
DEBT RATING PRIOR
---- ------ -----
Montmartre Euro CLO 2020-2 DAC
A-1-R XS2363072047 LT AAAsf Affirmed AAAsf
A-2-R XS2363072716 LT AAAsf Affirmed AAAsf
B-R XS2363073284 LT AAsf Affirmed AAsf
C-R XS2363073797 LT Asf Affirmed Asf
D-R XS2363074175 LT BBBsf Upgrade BBB-sf
E-R XS2363074506 LT BBsf Upgrade BB-sf
F-R XS2363075651 LT B-sf Affirmed B-sf
TRANSACTION SUMMARY
Montmartre Euro CLO 2020-2 DAC is a securitisation of mainly senior
secured obligations (at least 90%) with a component of senior
unsecured, mezzanine, second-lien loans and high-yield bonds. The
portfolio is actively managed by CBAM CLO Management Europe
Limited.
KEY RATING DRIVERS
CLO Criteria Update: The rating actions mainly reflect the impact
of the recently updated Fitch CLOs and Corporate CDOs Rating
Criteria and the shorter risk horizon incorporated in Fitch's
updated stressed portfolio analysis. The analysis considered cash
flow modelling results for the current and stressed portfolios
based on the 3 December 2021 trustee report.
The rating actions are based on Fitch's updated stressed portfolio
analysis, which applied the agency's collateral-quality matrix
specified in the transaction documentation. The transaction has
four matrices based on 12.5% and 0% fixed-rate limits in
combination with 15% and 27.5% top-10 borrower concentration
limits. Fitch analysed the two matrices specifying the 15% top-10
obligor concentration limit, which is closer to the transaction's
current 14.64% concentration.
The weighted average life (WAL) used for the transaction's stressed
portfolio and matrices analysis is reduced to 7.2 years after a
12-month reduction from the WAL covenant. This is to account for
structural and reinvestment conditions after the reinvestment
period, including the satisfaction of the coverage and Fitch 'CCC'
limit tests, together with a progressively decreasing WAL covenant.
In the agency's opinion, these conditions reduce the effective risk
horizon of the portfolio during stress periods.
The Stable Outlooks on the notes reflect Fitch's expectation of
sufficient credit protection to withstand potential deterioration
in the credit quality of the portfolio in stress scenarios that are
commensurate with the notes' ratings. Furthermore, the transaction
is still in its reinvestment period, and therefore no deleveraging
is expected.
Model-Implied Rating Deviation: The ratings of the class B-R to E-R
notes are one notch below their model-implied ratings (MIR). The
deviation reflects the remaining reinvestment period until January
2026 during which the portfolio can change significantly as a
result of reinvestment or negative portfolio migration.
Stable Asset Performance: The transaction's metrics indicate stable
asset performance. According to the trustee report, the transaction
is approximately 0.125% above par and has passed all coverage,
collateral-quality and portfolio-profile tests.
'B'/'B-' Portfolio: Fitch assesses the average credit quality of
the transaction's underlying obligors at 'B'/'B-'. The weighted
average rating factor (WARF) as calculated by the trustee was
32.99, which is below a maximum covenant of 33.8. The WARF, as
calculated by Fitch under the updated criteria, was 24.76.
High Recovery Expectations: Senior secured obligations comprise
98.97% of the portfolio as calculated by the trustee. Fitch views
the recovery prospects for these assets as more favourable than for
second-lien, unsecured and mezzanine assets. The Fitch weighted
average recovery rate (WARR) reported by the trustee was 64.7%,
against a minimum covenant at 64.3%.
Diversified Portfolio: The portfolio is well-diversified across
obligors, countries and industries. The top- 10 obligor
concentration is 14.64%, and no obligor represents more than 1.77%
of the portfolio balance, as reported by the trustee.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- An increase of the rating default rate (RDR) at all rating
levels by 25% of the mean RDR and a decrease of the rating
recovery rate (RRR) by 25% at all rating levels in the
stressed portfolio will result in downgrades of up to four
notches, depending on the notes.
-- Downgrades may occur if the build-up of the notes' credit
enhancement (CE) does not compensate for a larger loss
expectation than initially assumed, due to unexpectedly high
levels of defaults and portfolio deterioration.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- A reduction of the RDR at all rating levels by 25% of the mean
RDR and an increase in the RRR by 25% at all rating levels in
the stressed portfolio would result in upgrades of up to five
notches, depending on the notes.
-- Except for the tranche already at the highest 'AAAsf' rating,
upgrades may occur on better-than- expected portfolio credit
quality and deal performance that leads to higher CE and
excess spread available to cover losses in the remaining
portfolio.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
The majority of the underlying assets or risk-presenting entities
have ratings or credit opinions from Fitch and/or other nationally
recognised statistical rating organisations and/or European
securities and markets authority-registered rating agencies. Fitch
has relied on the practices of the relevant groups within Fitch
and/or other rating agencies to assess the asset portfolio
information or information on the risk-presenting entities.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.
SEGOVIA EUROPEAN 4-2017: Moody's Affirms B2 Rating on Cl. F Notes
-----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings on the following
notes issued by Segovia European CLO 4-2017 Designated Activity
Company:
EUR29,000,000 Class B-1 Senior Secured Floating Rate Notes due
2031, Upgraded to Aa1 (sf); previously on Jun 5, 2020 Affirmed Aa2
(sf)
EUR12,500,000 Class B-2 Senior Secured Fixed Rate Notes due 2031,
Upgraded to Aa1 (sf); previously on Jun 5, 2020 Affirmed Aa2 (sf)
EUR19,100,000 Class D Senior Secured Deferrable Floating Rate
Notes due 2031, Upgraded to Baa2 (sf); previously on Dec 8, 2020
Upgraded to Baa3 (sf)
Moody's has also affirmed the ratings on the following notes:
EUR193,000,000 Class A Senior Secured Floating Rate Notes due
2031, Affirmed Aaa (sf); previously on Jun 5, 2020 Affirmed Aaa
(sf)
EUR22,250,000 Class C Senior Secured Deferrable Floating Rate
Notes due 2031, Affirmed A2 (sf); previously on Dec 8, 2020
Upgraded to A2 (sf)
EUR15,500,000 Class E Senior Secured Deferrable Floating Rate
Notes due 2031, Affirmed Ba2 (sf); previously on Dec 8, 2020
Upgraded to Ba2 (sf)
EUR10,100,000 Class F Senior Secured Deferrable Floating Rate
Notes due 2031, Affirmed B2 (sf); previously on Jun 5, 2020
Downgraded to B2 (sf)
Segovia European CLO 4-2017 Designated Activity Company issued in
December 2017, is a collateralised loan obligation (CLO) backed by
a portfolio of mostly high-yield senior secured European loans. The
portfolio is managed by Segovia Loan Advisors (UK) LLP (formerly
Halycon Loan Advisors (UK) LLP), an affiliate of HPS Investment
Partners CLO (UK) LLP. The transaction's reinvestment period ended
in January 2022.
RATINGS RATIONALE
The rating upgrades on the Class B-1, B-2 and D Notes are primarily
a result of the benefit of the transaction having reached the end
of the reinvestment period in January 2022.
The affirmations on the ratings on the Class A, C, E and F Notes
are primarily a result of the expected losses on the notes
remaining consistent with their current rating levels, after taking
into account the CLO's latest portfolio, its relevant structural
features and its actual over-collateralisation ratios.
In light of reinvestment restrictions during the amortisation
period, and therefore the limited ability to effect significant
changes to the current collateral pool, Moody's analysed the deal
assuming a higher likelihood that the collateral pool
characteristics would maintain an adequate buffer relative to
certain covenant requirements. In particular, Moody's assumed that
the deal will benefit from a lower WARF and a shorter WAL than it
had assumed at the last rating action in December 2020.
The key model inputs Moody's uses in its analysis, such as par,
weighted average rating factor, diversity score and the weighted
average recovery rate, are based on its published methodology and
could differ from the trustee's reported numbers.
In its base case, Moody's used the following assumptions:
Performing par: EUR320,323,750
Defaulted Securities: 544,879
Diversity Score: 60
Weighted Average Rating Factor (WARF): 3008
Weighted Average Life (WAL): 4.50 years
Weighted Average Spread (WAS) (before accounting for Euribor
floors): 3.74%
Weighted Average Coupon (WAC): 4.84%
Weighted Average Recovery Rate (WARR): 44.92%
Par haircut in OC tests and interest diversion test: None
The default probability derives from the credit quality of the
collateral pool and Moody's expectation of the remaining life of
the collateral pool. The estimated average recovery rate on future
defaults is based primarily on the seniority of the assets in the
collateral pool. In each case, historical and market performance
and a collateral manager's latitude to trade collateral are also
relevant factors. Moody's incorporates these default and recovery
characteristics of the collateral pool into its cash flow model
analysis, subjecting them to stresses as a function of the target
rating of each CLO liability it is analysing.
Methodology Underlying the Rating Action:
The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
December 2021.
Counterparty Exposure:
The rating action took into consideration the notes' exposure to
relevant counterparties, such as account bank, using the
methodology "Moody's Approach to Assessing Counterparty Risks in
Structured Finance" published in May 2021. Moody's concluded the
ratings of the notes are not constrained by these risks.
Factors that would lead to an upgrade or downgrade of the ratings:
This transaction is subject to a high level of macroeconomic
uncertainty, which could negatively affect the ratings on the note,
in light of uncertainty about credit conditions in the general
economy. In particular, the length and severity of the economic and
credit shock precipitated by the global coronavirus pandemic will
have a significant impact on the performance of the securities. CLO
notes' performance may also be impacted either positively or
negatively by: (1) the manager's investment strategy and behaviour,
and (2) divergence in the legal interpretation of CDO documentation
by different transactional parties because of embedded
ambiguities.
Additional uncertainty about performance is due to the following:
Portfolio amortisation: The main source of uncertainty in this
transaction is the pace of amortisation of the underlying
portfolio, which can vary significantly depending on market
conditions and have a significant impact on the notes' ratings.
Amortisation could accelerate as a consequence of high loan
prepayment levels or collateral sales by the collateral manager or
be delayed by an increase in loan amend-and-extend restructurings.
Fast amortisation would usually benefit the ratings of the notes
beginning with the notes having the highest prepayment priority.
Recovery of defaulted assets: Market value fluctuations in
trustee-reported defaulted assets and those Moody's assumes have
defaulted can result in volatility in the deal's
over-collateralisation levels. Further, the timing of recoveries
and the manager's decision whether to work out or sell defaulted
assets can also result in additional uncertainty. Moody's analysed
defaulted recoveries assuming the lower of the market price or the
recovery rate to account for potential volatility in market prices.
Recoveries higher than Moody's expectations would have a positive
impact on the notes' ratings.
=========
I T A L Y
=========
BLUTEC SPA: March 11 Bid Submission Deadline Set for BU Chemical
----------------------------------------------------------------
The Extraordinary Administrators of Blutec S.p.A. in A.S.,
appointed by means of Decree of the Ministry of Economic
Development (MISE) on October 18, 2019, intend to sell the
company's business unit BU Chemical. The business unit has a
production site in Orbassano (TO) and operates in the production of
adhesives, sealants, abrasives and resins for a range of
applications and of underbody protection (PVC), catering
particularly to the automotive industry.
The Extraordinary Administrators invite all interested parties to
submit their irrevocable and guaranteed bids for the purchase of BU
Chemical, including (i) ongoing employment relations with 30
employees at the Rivoli (TO) site; (ii) ongoing employment
relations with four employees working at the Rivoli (TO) site,
Procurement-Accounting-Personnel-Safety area; (iii) property,
plant, equipment and intangible assets relating to the business
unit; (iv) goodwill; (v) operating contracts in place for the
business unit; (vi) the "Vagnone & Boeri" trademark, signage,
commercial documents, customer and supplier lists, know-how,
technical and sales processes, as well as all other element or
document or knowledge, in any media format, used or usable in
managing the business unit; (vii) ownership of the property located
in Orbassano where the chemical business is conducted; (viii) the
inventories pertaining to the business unit; (ix) outstanding
orders; (x) valid operating authorisations, concessions and
licenses for managing the business unit; all as described in
greater detail in the Tender Specifications available on the
Procedure web site http://www.gruppoblutecinas.it
The Binding Bids for purchase of the assets that comprise the
business unit must be received in hard copy by no later than noon
on March 11, 2022, at the studio of Notary Igor Genghini, Viale
Liege 42, Rome.
For the interested parties, the Procedure has already made a
Virtual Data Room ("VDR") available, with information relating to
the business unit, on the Procedure web site
http://www.gruppoblutecinas.it
=========
S P A I N
=========
TECPETROL INTERNACIONAL: Fitch Affirms 'BB' IDRs, Outlook Stable
----------------------------------------------------------------
Fitch Ratings has affirmed Tecpetrol Internacional S.L (Tecpint)'s
Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs)
at 'BB'. The Rating Outlooks are Stable.
Tecpint's ratings reflect its strong business position, production
profile, large reserve base, low leverage, and strong and
predictable cash flow profile supported by contracted volumes and
prices in both Peru and Argentina. Fitch estimates nearly 90% of
Tecpint's EBITDA comes from 'B' rated or below operating
environments, with Argentina contributing 80%.
Outlook remains stable reflecting stabilization in the ratings of
the operating environments and the fact that Argentina's 'CCC'
rating is not expected to affect the rating under its current cash
flow generation profile. Further, Tecpint's leverage is
conservative at 1.0x, and Fitch expects that the company will
comfortably refinance or repay its USD500 million senior unsecured
note due in December 2022.
KEY RATING DRIVERS
Diversified Asset Base: Tecpint's diversified asset base is a
credit positive. Tecpint has oil and gas exploration and production
operations in six countries across Latin America (Argentina, Peru,
Ecuador, Mexico, Colombia and Bolivia) as well as gas
transportation and distribution in Argentina and Mexico, and
electricity generation in Mexico. The company's principal reserves
are in Peru (19%), Bolivia (3%), Colombia (3%), Mexico (1%) Ecuador
(5%) and Argentina (70%). Approximately 70% of E&P revenues come
from sales of oil and gas and services from Argentina.
Camisea Stake: Tecpint's 10% ownership stake in blocks 88 and 56
within the Camisea natural gas field in Peru, which is estimated to
contribute nearly 9% of its EBITDA in 2021, provides stable and
predictable cash flows far beyond the maturities of the company's
debt obligations. Fitch forecasts Camisea's contribution to
Tecpint's EBITDA will alone be more than adequate to cover interest
expense, on average 3.1x, in 2021.
Camisea's reserve life is estimated to extend for more than 25
years, although the license agreements for Camisea's two blocks, 88
and 56, expire in 2040 and 2044, respectively. Concerns about the
political environment in Peru, with rumored intentions of
nationalization of assets by the Castillo administration, have now
eased and there are no visible material risks to the Camisea stake
in the short to medium term.
Strong Production Profile and Hydrocarbon Reserve Life: Tecpint's
ratings reflect the company's medium production size, consistent
with the low 'BBB' rated category, and relatively strong reserve
life of approximately 13.1 years compared with peers. In 2021,
Tecpint's total owned production is expected to average 170,000
boed (62 million boe in the year) of which 80% is gas, and the
remainder is liquids. As of YE 2021, Tecpint had proved reserves of
750 million boe (80% gas and 20% liquids).
Strong Financial Profile: Tecpint's contracted volumes coupled with
low cost production profile support its predictable cash flow
profile. Fitch estimates EBITDA of USD1.2 billion in 2021, up 40%
compared with 2020, mostly due to coronavirus-related price
corrections and an increase in production across the board as the
company has focused investments in the Fortin de Piedra basin.
EBITDA margin remains strong, estimated at 68% in 2021, up from 61%
in 2020 reflecting improved pricing and volume-driven economics.
Fitch estimates EBITDA margin will be in the mid 50% through the
rating horizon. FCF for 2021 is estimated at USD207 million, and
Fitch's base case reflects positive FCF through the rating horizon.
Total debt to 1P reserves is $1.33 per barrel of oil equivalent,
among the lowest in the region.
Contracted Gas Production in Argentina: Tecpint has minimal volume
risk as a majority of its revenues are contracted under Plan Gas 4
(PG4). In 2021, Fitch assumes Under PG4 an average annual gas
production of 14 million cubic meters per day sold at USD3.6 MMBTU
through 2024, resulting in an average revenue of USD705 million per
annum. Tecpint is exposed to payments from the Argentine federal
government, which, despite a history of payment delays, has
maintained payables to Tecpint under 30 days in the last two years.
Further, given its strong liquidity and cash flow profile, Fitch
does not expect a material impact on the company over the rated
horizon, should the Argentine government significantly delay
payments.
Impact of Capital Controls: The rating case assumes that Tecpetrol
S.A. will refinance its USD500 million senior unsecured notes
guaranteed by Tecpint, in compliance with the 60/40 rule. Fitch
estimates Tecpint's Argentine EBITDA will average $800 million and
non-Argentine EBITDA will average $400 million per annum between
2022 and 2024. The company will have to continue to manage the
expected devaluation of the Argentine peso, high inflation, and
will be limited how much debt its Argentine entity can repay.
DERIVATION SUMMARY
Tecpint's production is expected to average 195,000 boed over the
rated horizon and maintain a strong 1P reserve life of at least 10
years, which compares favorably with other 'BB' rated oil and gas
E& producers. These peers include Pan American Energy (BB-/Stable)
with 226,000 boed and 21 years reserve life, Murphy Oil Corporation
(BB+/Stable) with 171,000 of boed and 14 years and YPF SA (CCC)
with 480,000 of boed and 5.4 years.
Tecpint's Argentine peer Pan American Energy is capped by Argentina
's 'B-' Country Ceiling, but receives multiple notch uplift, due to
its strong liquidity profile and cash flows from Bolivia and its
Mexican operations. Pan American Energy's Positive Outlook reflects
Fitch's expectation that its Mexican operations, which began in
2020, will lift the country ceiling from Argentina to either
Bolivia or Mexico. YPF's rating is equalized with the country
ceiling of Argentina, due to the government's 51% ownership and the
company's strategic importance to the country.
Tecpint's capital structure is strong. Fitch expects gross leverage
(total debt to EBITDA) to be 1.0x in 2021, which is in line with
Pan American Energy at 1.5x, and both are lower than Murphy Oil
(2.5x) and YPF (4.3x). On debt to 1P reserves, Fitch estimates
Tecpint's 2021 debt to 1P reserves are USD1.3 boe, comparable with
Pan American Energy at USD1.49 boe, and stronger than Murphy Oil
(USD4.34 boe) and YPF (USD8.75 boe).
KEY ASSUMPTIONS
-- Production in Bolivia, Ecuador, Mexico and Peru to remain flat
through 2024;
-- Production increase in Colombia to 10k boe/d by 2023;
-- Fortin de Piedra gas production average of 18 million cubic
meters per day from 2022 through 2024;
-- Realized gas prices of $3.60 MMBTU in Argentina under Plan Gas
4 from 2022 through 2024 applied to an average of 14 million
cubic meters per day;
-- Fitch's Brent oil price assumptions of USD71 per barrel (bbl)
for 2021, USD70 per bbl for 2022, and USD53/bbl for the long-
term;
-- EBITDA margins expected to remain at an average of 58% from
2022 through 2024;
-- Total capex of USD 1.4 billion between 2022-2024;
-- Dividends USD90 million paid annually from 2022 through 2024;
-- Peruvian EBITDA from CAMISEA average 144 million from 2022
through 2024;
-- International bond maturing in 2022 to be refinanced with a
USD300 million bond at 5% coupon.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
Although an upgrade is unlikely in the short term, given a majority
of the company's cash flow originates from speculative grade
operating environments, one may be considered in the long term if
the operating environments ratings improve and any or all the
following events occur:
-- Production rising consistently above 170,000 boe/d on a
sustained basis;
-- Reserve life stays robust, despite production growth, at
approximately 10 years;
-- Company maintains a conservative financial profile with gross
leverage of 2.5x or below.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- Deterioration of its liquidity profile due to the Argentine
Capital controls and/or material payment delays from PG4;
-- Cancellation or material amendment of PG4 could negatively
impact the rating;
-- The ratings could be negatively affected by a deterioration of
Argentina, Bolivia, Ecuador and/or Peru's credit quality
combined with a material increase in the government's
interference in the sector.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.
LIQUIDITY AND DEBT STRUCTURE
Fitch estimates with cash on hand and cash flow at the end of FY
2021, the company can comfortable repay its USD500 million
international bond maturing in December 2022.
ISSUER PROFILE
Tecpetrol International S.L. is regional energy company with
operation in six different countries (Argentina, Peru, Ecuador,
Mexico, Colombia, Bolivia).
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
===========================
U N I T E D K I N G D O M
===========================
ADLER: Vonovia Seizes 20.5% Stake Following Failed Margin Call
--------------------------------------------------------------
Olaf Storbeck at The Financial Times reports that German real
estate giant Vonovia has become the single largest shareholder in
struggling local rival Adler after its major investor failed to
service a margin call on a EUR250 million loan.
Vonovia has seized a 20.5% stake in Adler that was pledged as
collateral by investment group Aggregate Holdings, whose stake has
fallen to 6.1%, the FT relates. The move highlights the cash
constraints that Aggregate appears to be facing, further escalating
a crisis at Adler, the FT notes.
Luxembourg-based Aggregate rejected the notion that it had breached
loan conditions, the FT recounts. According to the FT, in a
statement on Feb. 22 it said it "does not believe that this
specific event constitutes a cross-default in the Aggregate 2025
bonds as the Adler shares were not held in a material subsidiary".
The group, which previously owned 26.6% of Adler, in September had
EUR4 billion of net debt, the FT relays, citing the company
filings. It said that Vonovia's move "is against a clear
understanding between Aggregate and Vonovia that the loan .
. . was a strategic loan". It added that it was evaluating
legal implications.
Vonovia had agreed a EUR250 million loan to Aggregate after it came
under pressure from banks to repay loans following accusations of
accounting manipulations by London-based short seller Fraser
Perring's Viceroy Research, the FT discloses.
According to the FT, a Viceroy report accused Adler of inflating
the value of its assets, related-party transactions and other
misconduct, sending its stock and bonds sharply lower. It
triggered a series of margin calls to Adler's big shareholders,
which borrowed heavily against their stakes, the FT notes. German
financial watchdog BaFin subsequently launched a probe into Adler's
accounting, and the group launched a forensic investigation by
auditor KPMG, the FT recounts.
Aggregate replaced loans by borrowing EUR250 million from Vonovia,
Germany's largest listed landlord which owns 568,000 flats, the FT
discloses. It pledged its 26.6% stake in Adler as collateral, the
FT states. Adler owns 52,000 flats in north and western Germany
and is controlled through a Luxembourg-based holding company.
Adler's woes intensified in late January when it postponed the
publication of its 2021 annual results as the KPMG probe looked
likely to drag on into the second quarter, the FT recounts. The
group's stock briefly fell to less than EUR10 a share -- a critical
threshold in the loan agreement between Vonovia and Aggregate, the
FT states.
As Aggregate did not provide the requested additional cash
collateral, Vonovia seized the shares to protect "itself against a
loss", the company, as cited by the FT, said in a statement.
AZURE FINANCE 2: Moody's Affirms Caa1 Rating on GBP6.1MM F Notes
----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings of three notes
in Azure Finance No.2 plc. The rating action reflects better than
expected collateral performance and increased levels of credit
enhancement for the affected notes.
Moody's affirmed the ratings of the notes that had sufficient
credit enhancement to maintain their current ratings.
GBP126.4M Class A Notes, Affirmed Aaa (sf); previously on May 20,
2021 Affirmed Aaa (sf)
GBP26.4M Class B Notes, Affirmed Aaa (sf); previously on May 20,
2021 Upgraded to Aaa (sf)
GBP17.0M Class C Notes, Upgraded to Aa1 (sf); previously on May
20, 2021 Upgraded to A1 (sf)
GBP5.7M Class D Notes, Upgraded to A2 (sf); previously on May 20,
2021 Upgraded to Baa2 (sf)
GBP7.1M Class E Notes, Upgraded to Baa3 (sf); previously on May
20, 2021 Upgraded to Ba2 (sf)
GBP6.1M Class F Notes, Affirmed Caa1 (sf); previously on May 20,
2021 Affirmed Caa1 (sf)
Azure Finance No.2 plc is a static cash securitisation of auto
receivables extended by Blue Motor Finance Limited (NR) to obligors
located in the United Kingdom. The portfolio consists of hire
purchase agreements extended to private obligors.
RATINGS RATIONALE
The rating action is prompted by decreased key collateral
assumptions, namely the portfolio default probability, the reduced
portfolio credit enhancement and increased recovery rate
assumptions due to better than expected collateral performance as
well as by an increase in credit enhancement for the affected
tranches.
Revision of Key Collateral Assumptions
As part of the rating action, Moody's reassessed its default
probability and recovery rate assumptions for the portfolio
reflecting the collateral performance to date.
The performance of the transaction has continued to be stable since
the last rating action in May 2021. Total delinquencies have not
materially increased in the past year, with 60 plus days arrears
currently standing at 0.43% of current pool balance compared with
0.37% a year ago. Cumulative defaults currently stand at 2.70% of
original pool balance up from 1.15% a year earlier.
For Azure Finance No.2 plc, the current default probability
assumption has been reduced to 9.5% from 12.0% as a percentage of
the current portfolio balance and the assumption for the recovery
rate is now 40% compared with 35% previously. Moody's has also
reduced the portfolio credit enhancement to 30% from 32%.
Increase in Available Credit Enhancement
Sequential amortisation led to the increase in the credit
enhancement available in this transaction.
For instance, the credit enhancement for the upgraded Class C, D,
and E notes increased to 21.11%, 14.71% and 6.88% from 13.64%,
9.50% and 4.44% since the last rating action in May 2021.
The principal methodology used in these ratings was "Moody's Global
Approach to Rating Auto Loan- and Lease-Backed ABS" published in
September 2021.
Factors that would lead to an upgrade or downgrade of the ratings:
Factors or circumstances that could lead to an upgrade of the
ratings include (1) performance of the underlying collateral that
is better than Moody's expected, (2) an increase in available
credit enhancement and (3) improvements in the credit quality of
the transaction counterparties and (4) a decrease in sovereign
risk.
Factors or circumstances that could lead to a downgrade of the
ratings include (1) an increase in sovereign risk, (2) performance
of the underlying collateral that is worse than Moody's expected,
(3) deterioration in the notes' available credit enhancement and
(4) deterioration in the credit quality of the transaction
counterparties.
KEENAN BUS: Goes Into Liquidation, 18 Jobs Affected
---------------------------------------------------
Ryan Thom at Ayrshire Post reports that Ayr bus firm Keenan Bus has
fallen into liquidation, potentially affecting more than 500 school
pupils.
According to Ayrshire Post, all 18 staff have lost their jobs, with
drivers, mechanics and management all receiving redundancy
packages.
Keenan of Ayr's management told staff it was liquidating the
company, bringing an end to more than 60 years in operation at a
meeting last week, Ayrshire Post relates.
Liquidators stated that the firm endured a difficult two years
through the pandemic, with many pupils forced to learn from home as
the country was placed on numerous lockdowns, Ayrshire Post notes.
Additional hire for events such as weddings or sport days are also
said to have dipped throughout the Covid crisis, Ayrshire Post
discloses.
Cash-flow issues have also been cited as reasons for the company
being forced to shut down, Ayrshire Post states.
RUBIX GROUP: Moody's Affirms 'B3' CFR, Outlook Remains Stable
-------------------------------------------------------------
Moody's Investors Service has affirmed the B3 corporate family
rating and B3-PD rating of industrial parts distributor Rubix Group
Holdings Limited (Rubix or the company). Concurrently the rating
agency has affirmed the B2 ratings of the EUR1,090 million
guaranteed senior secured term loan B and the EUR135 million
guaranteed senior secured revolving credit facility (RCF)
co-borrowed by the company and its wholly-owned subsidiary Rubix
Group Finco Limited. The outlook on all the ratings remains
stable.
The proposed rating action reflects:
-- The company's strong market position as the leading European
distributor of industrial parts in a fragmented market
-- High leverage of 7.9x on a Moody's-adjusted basis as at
September 2021, reflecting a strategy of debt-financed
acquisitions, albeit with solid liquidity
-- Prospects for positive organic growth benefiting from the
company's scale and sourcing capabilities against a backdrop of
supply chain constraints and rising inflation
RATINGS RATIONALE
The B3 CFR reflects the company's: (1) market leadership in a
fragmented European industrial parts distribution market, with a
broad range of products and services; (2) relatively resilient
margins thanks to diverse end markets and focus on the MRO segment
and non-cyclical sectors; (3) adequate liquidity; and (4) breakeven
to low positive free cash flow generation before acquisitions and
network expansion spending, although affected by restructuring
costs and working capital movements.
The ratings also reflect the company's: (1) geographical
concentration in mature markets in Western Europe with modest long
term organic growth prospects; (2) high leverage resulting from
debt-funded acquisitions and off-balance sheet factoring; (3)
exposure to cyclical sectors including automotive and aerospace
sectors and to wider industrial slowdown; (4) continued
acquisition-related exceptional costs which contribute to elevated
leverage.
Rubix is Europe's leading distributor of industrial parts with a
share of around 2.5-3% in a highly fragmented market. Its scale
provides substantial advantages in terms of network density,
procurement, diversity of revenue, customer service and
responsiveness, leading to entrenched positions across a wide
customer base.
The company is following a consolidation strategy leading to
substantial debt-financed acquisitions, typically spending in
excess of EUR150 million per annum. It has also incurred at least
EUR50 million per annum of exceptional costs largely relating to
the integration of acquisitions and network rationalisation. These
factors limit the deleveraging profile and lead to approximately
breakeven Moody's-adjusted free cash flow. Total Moody's adjusted
leverage was 7.9x as at September 2021, which Moody's expects to
reduce towards 7x in 2022 and 2023. In addition the company has
incurred substantial off-balance sheet non-recourse factoring,
which is not included in Moody's leverage metrics.
Moody's expects the company to achieve at least mid-single digit
percentage organic revenue growth in 2022, driven by the continued
recovery in European industrial production from the pandemic, and
reducing to the low single digits thereafter. The company is well
placed to navigate the inflationary and supply chain pressures in
the market and Moody's expects the company's sourcing capabilities
to provide added value to customers and differentiation to smaller
competitors. However, supply chain constraints may also limit rates
of industrial production at least in the first half of 2022
affecting the company's nearer term growth.
LIQUIDITY
The company's liquidity is adequate, with headroom of EUR191
million at September 2021, pro forma for the EUR115 million
additional term loan B raised in November 2021. This comprises cash
of EUR48 million, EUR28 million of undrawn RCF, and EUR115 million
of new term loan B funding. The RCF matures in September 2023 and
is subject to a net senior leverage test under which Moody's
expects substantial headroom. The company also relies on
substantial short term local facilities of which EUR155 million was
drawn at September 2021.
STRUCTURAL CONSIDERATIONS
The company's EUR1,090 million guaranteed senior secured term loan
B and the EUR135 million RCF rank pari passu and share the same
security interest and guarantees from entities of the group
representing at least 80% of consolidated EBITDA. Security is
relatively weak and consists mainly of share pledges, bank accounts
and intercompany receivables.
The EUR187 million senior secured second lien term loan is
guaranteed on a senior subordinated basis and benefits from
second-priority pledges over the same assets as the first lien
facilities.
The first lien facilities are rated B2, one notch above the
corporate family rating, reflecting their ranking ahead of the
second lien.
ENVIRONMENTAL, SOCIAL AND GOVERNANCE CONSIDERATIONS
Governance factors within Moody's assessment of the ratings include
the company's relatively aggressive financial policy of pursuing
debt financed acquisitions and operating with high leverage,
including substantial levels of off-balance sheet financing. The
company has a good track record of integration and the
consolidation strategy appears appropriate in the context of a
mature and fragmented market.
In July 2021, Rubix published its Environmental, Social and
Governance report setting out its ESG governance framework,
strategy, proposed actions and key targets. These include targets
for reducing its scope 1 and 2 greenhouse gas emissions by 15% by
2024, compared to 2019; plans for assessment of scope 3 emissions;
waste and recycling initiatives; frameworks for assessing and
monitoring suppliers' practices and ethical standards; and plans
for employee development and engagement.
OUTLOOK
The stable outlook reflects Moody's expectation that the company's
performance will remain robust, with stable or improving organic
revenue growth and margins, positive free cash generation and
adequate liquidity. The outlook assumes that debt-financed
acquisitions continue to constrain deleveraging but that they are
executed effectively leading to synergy savings such that
Moody's-adjusted leverage returns towards 7.0x over the next 12-18
months.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings could be upgraded if the company's Moody's-adjusted
debt/EBITDA reduces sustainably below 6.0x, after including
expected levels of non-recourse factoring, and if the company
improves its cash flow generation, with Moody's-adjusted retained
cash flow/debt in excess of 8%. An upgrade would also require
adoption of a more conservative financial policy, which limits the
extent of re-leveraging from debt-financed acquisitions, positive
organic revenue growth, at least stable margins, and for the
company to maintain at least adequate liquidity.
The ratings could be downgraded if the company's leverage increases
materially from current levels, including the expected levels of
non-recourse factoring, or if free cash flow turns negative on a
sustained basis. A downgrade could also occur if there is a
sustained deterioration in operating performance, resulting in a
decline in organic revenue or margins, or if the company fails to
address debt maturities, including the RCF, at least one year in
advance, leading to liquidity concerns.
PRINCIPAL METHODOLOGY
The principal methodology used in these ratings was Distribution &
Supply Chain Services Industry published in June 2018.
COMPANY PROFILE
Rubix, headquartered in London, is a leading European distributor
of industrial MRO products and related services. Products offered
include bearings, mechanical power transmission, pneumatics,
hydraulics, tools, and health and safety equipment, and related
technical services. The company is fully owned by funds advised by
Advent International. In 2020, Rubix generated net sales of around
EUR2.4 billion and company-adjusted EBITDA of around EUR201
million.
SHAKES2GO: Enters Liquidation, Grosvenor Store Closed
-----------------------------------------------------
Robin Jenkins at GloucestershireLive reports that customers have
been left in the dark about the closure of a drinks shop in
Cheltenham town centre.
No public explanation was given for the permanent closure of
Shakes2Go in Grosvenor Street, which is close to High Street,
according to GloucestershireLive.
The company, which also had a shop in Westgate Street in
Gloucester, has gone into liquidation GloucestershireLive relays,
citing the Companies House website.
It listed its director as Laura Griffiths. GloucestershireLive has
not yet been able to contact her to obtain further information,
GloucestershireLive notes. The Shakes2Go website has had its
account suspended, GloucestershireLive states.
*********
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