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       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

          Wednesday, May 18, 2022, Vol. 23, No. 93

                           Headlines



F I N L A N D

MEHILAINEN YHTYMA: Fitch Affirms 'B' LongTerm IDR, Outlook Stable


G E R M A N Y

FORTUNA CONSUMER 2022-1: Fitch Gives B-(EXP) Rating on Cl. F Notes


I R E L A N D

NORTHWOODS CAPITAL 26: S&P Assigns Prelim. B-(sf) Rating on F Notes


L U X E M B O U R G

LOARRE INVESTMENTS: Fitch Gives 'BB(EXP)' to EUR850MM Secured Notes
PUMA INT'L: Fitch Affirms 'BB' Rating on Sr. Unsecured Debt


T U R K E Y

PETKIM PETROKIMYA: S&P Affirms Prelim. 'B+' LT Issuer Credit Rating


U K R A I N E

[*] UKRAINE: President Discusses Need for Fin'l. Support With IMF


U N I T E D   K I N G D O M

AMANDA WAKELEY: Set for Liquidation Following Administration
AWAZE LTD: S&P Affirms B- LongTerm ICR & Alters Outlook to Stable
CASTLE UK: S&P Assigns 'B+' LongTerm ICR, Outlook Stable
DERBY COUNTY FOOTBALL: Kirchner Exchanges Contracts with Quantuma
GFG ALLIANCE: Taxpayers May Face Losses Due to Controversial Deal

PALMER SQUARE 2021-2: Fitch Affirms BB+ Rating on Class F Debt
PALMER SQUARE 2022-2: Fitch Assigns 'BB+' Rating on Class E Debt
ST PETER'S COURT: Future of Accommodation Unclear After Takeover
TAURUS 2019-2 UK: Fitch Hikes Rating on Class E Debt to 'BBsf'
WARWICK FINANCE: S&P Raises Class E-Dfrd Notes Rating to 'B+(sf)'


                           - - - - -


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F I N L A N D
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MEHILAINEN YHTYMA: Fitch Affirms 'B' LongTerm IDR, Outlook Stable
-----------------------------------------------------------------
Fitch Ratings has affirmed Mehilainen Yhtyma Oy's (Mehilainen)
Long-Term Issuer Default Rating (IDR) at 'B' with a Stable
Outlook.

Fitch has also affirmed Mehilainen Yhtiot Oy's EUR1,210 million
term loan B (TLB) at senior secured 'B+' with a Recovery Rating of
'RR3'.

Mehilainen's 'B' IDR reflects an aggressive financial risk profile
that is counterbalanced with defensive diversified operations and
sustainably positive free cash flow (FCF). The Stable Outlook
reflects Fitch's expectations of stable operating performance
through an organic and acquisitive growth strategy in an overall
steady and well-funded, albeit highly regulated, environment. This
supports a high but stable leverage profile for the assigned 'B'
IDR, with total adjusted debt/EBITDAR projected at around 7.0x
until 2025.

KEY RATING DRIVERS

Defensive Diversified Operations: As a social infrastructure asset,
Mehilainen benefits from stable and steadily growing demand across
its diversified services. Its strong position in the Finnish
private healthcare and social care markets with reasonable scale
supports its ability to maintain operating and cash flow
profitability amid regulatory changes.

Margin Pressure from Rising Costs: Labour shortages in industries
such as social care and an inflationary environment have prompted
wage cost increases for public healthcare workers in Finland,
leading to margin pressure. Collective labour agreements for public
healthcare staff have resulted in pay increases of around 2%, which
sets a base for the private sector. Mehilainen is partially
protected by such cost increases being reflected in prices for
services provided to municipalities, though this does not cover the
private sector or ancillary compensation. Fitch expects labour and
material costs to increase to 2025, leading to an EBITDA margin
decline to below 11% in 2022 from 11%-12% in 2020-2021.

Robust Cash Flow Generation: Mehilainen has maintained positive
FCF, which Fitch expects to continue with estimated FCF margins of
around 3%-4% and annual FCF averaging around EUR70 million to 2025,
after investments in greenfield units. FCF is supported by adequate
operating profitability, structurally negative trade working
capital and comparatively low capex for the sector at 2%-3% of
sales. Fitch expects the company to reinvest most of its FCF in
earnings-accretive M&A.

Low Headroom in Credit Metrics: An extensive debt-funded growth
strategy leads to total adjusted debt/EBITDAR of around 7.0x (or
funds from operations (FFO) adjusted gross leverage 8.0x) and
EBITDAR/interest + rents cover of 1.8x (FFO fixed charge coverage
of 1.6x) in 2022-2023, leaving low headroom under the 'B' IDR. In
accordance with Fitch's corporate rating criteria, Fitch uses
lease-adjusted credit metrics to reflect Mehilainen's business
model that substantially relies on a rented estate of clinics and
care homes, in line with close sector peers'.

No Deleveraging Prospect: Fitch sees no meaningful scope for
structural improvement in metrics as Fitch expects operating
efficiency gains to be reinvested in cost management, particularly
in the personnel-intensive social care segment. Given Mehilainen's
active buy-and-build strategy, Fitch expects any organic
deleveraging opportunities will be deployed for further debt-funded
M&A.

M&A to Accelerate: Mehilainen's opportunistic M&A strategy poses
event risk, including the potential for larger and more expensive
targets in Germany and Sweden. Fitch estimates cumulative
acquisitions of up to EUR500 million until 2025 that can be
financed with a combination of internal cash flow and a
recently-upsized revolving credit facility (RCF). Larger or
additional acquisitions are contingent on issuance of new debt and
may put ratings under pressure, subject to Fitch's assessment of
their impact on Mehilainen's operating profile, execution risk,
acquisition economics and funding mix.

Shift in Growth Strategy: Increased regulatory scrutiny in Finland
of outsourcing public healthcare services to private providers has
culminated in a shift in strategy for Mehilainen away from
consolidation in Finland towards expansion in new geographies.
Germany and Sweden are the key geographies for Mehilainen's
expansion, with different regulatory regimes, offering freedom of
choice to patients. An entry into these highly competitive markets
with generally more expensive assets, particularly Germany, becomes
economically sensible if a meaningful presence on the ground can be
achieved. Fitch expects larger-scale M&A in these markets to
follow, which will diversify execution risk in the medium term.

DERIVATION SUMMARY

Unlike most Fitch-rated private healthcare service providers with a
narrow focus on either healthcare or social care services,
Mehilainen differentiates itself as an integrated service provider
with diversified operations across both markets. It has a
meaningful national presence in each type of service, making its
business model more resilient against weaknesses in individual
service lines. Mehilainen also benefits from a stable regulatory
framework, which contrasts especially with the UK, where private
operators have been exposed to margin pressures due to a reduction
in local authorities' fees.

Mehilalinen's tight financial metrics are balanced by adequate
operating profitability and sustainably positive cash flow
generation given its asset-light business model with low capital
intensity and structurally negative trade working capital.

Mehilainen's credit risk as a whole, and operating and financial
risk profiles, are similar to that of other social infrastructure
assets such as the provider of mental rehabilitation and long-term
care services Median B.V. (B/Stable) and laboratory-testing
services Laboratoire Eimer Selas (Biogroup, B/Stable), which are
both also pursuing a consolidation strategy in fragmented markets
backed by private equity. As a result, leverage for both peers is
comparatively aggressive at 7.0x-9.0x on an FFO lease-adjusted
basis, which is more commensurate with a low 'B' - high 'CCC'
category rating. Similar to Mehilainen's, Median B.V.'s and
Biogroup's high leverage is counterbalanced by their defensive
operations, intact organic growth and sustained positive FCF
generation, supporting the companies' 'B' ratings.

We also compare Mehilainen with the French private hospital
operator Almaviva Development (B/Stable), with both companies'
ratings reflecting a strong national market position, reliance on
stable regulation limiting the scope for profitability improvement,
low-to-mid single-digit FCF margin, high leverage of 7-0x-8.0x and
an M&A-driven growth strategy, supporting their 'B'/Stable
ratings.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Its Rating Case for the Issuer:

-- Revenue CAGR of around 5.6% from 2022 to 2025, driven by a
    combination of internal and external growth. Higher growth of
    around 20% for 2022 due to acquisitions made in 2021;

-- Steady EBITDA margin (Fitch-defined, excluding IFRS 16
    adjustments) of around 10.6% until 2025;

-- Capex averaging around 2.7% of revenue each year until 2025;

-- Neutral change in trade working capital;

-- Ongoing business restructuring and optimisation changes
    included in FFO as recurring business costs;

-- Bolt-on acquisition spending of around EUR100 million - EUR150

    million until 2025;

-- No dividends for the next four years.

RECOVERY RATING ASSUMPTIONS:

The recovery analysis assumes that Mehilainen would be reorganised
as a going-concern (GC) in bankruptcy rather than liquidated.

Fitch estimates post-restructuring GC EBITDA at around EUR125
million, including the most recent add-on M&A completed this year,
as the benefits from these asset additions will remain in the
business post-distress. Fitch views this level of EBITDA as
appropriate for the company to remain a GC, reflecting possible
benefits post-distress.

Fitch continues to apply a distressed enterprise value (EV)/EBITDA
multiple of 6.5x, implying a premium of 0.5x over the sector
median, reflecting Mehilainen's stable regulatory regime for
private-service providers in Finland, a well-funded national
healthcare system and the company's strong market position across
diversified service lines.

The allocation of value in the liability waterfall results in a
Recovery Rating of 'RR3' for the upsized first-lien senior secured
TLB of EUR1,210 million and a RCF of EUR150 million, which Fitch
assumes will be fully-drawn prior to distress, indicating a 'B+'
instrument rating with a waterfall-generated recovery computation
of 54% based on current assumptions.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Successful execution of medium-term strategy leading to a
    further increase in scale with EBITDA margins at or above 15%
    on a sustained basis;

-- Continued supportive regulatory environment and Finnish macro-
    economic factors;

-- FCF margins remaining at mid-single digits;

-- Total adjusted debt/EBITDAR falling towards 6.0x (FFO-adjusted

    gross leverage towards 6.5x) and EBITDAR/gross interest +
    rents rising towards 2.2x (FFO fixed-charge cover towards
    2.0x).

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Pressure on profitability with EBITDA margin declining towards

    10% on a sustained basis as a result of weakening organic
    performance, productivity losses with fewer customer visits,
    lower occupancy rates, pressure on costs, or weak integration
    of acquisitions;

-- Weakening credit profile as a result of opportunistic and
    aggressively debt-funded M&A;

-- Risk to the business model resulting from adverse regulatory
    changes to public and private funding in the Finnish
    healthcare system, including from the SOTE reform;

-- As a result of the above adverse trends, declining FCF margins

    to low single digits;

-- Total adjusted debt/EBITDAR rising above 7.5x (FFO-adjusted
    gross leverage above 8.0x) and cash from operations-
    capex/total debt falling to low single digits, due to
    operating under-performance or aggressively debt funded M&A,
    and EBITDAR/gross interest + rents below 1.7x (FFO fixed-
    charge cover below 1.5x).

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

Comfortable Liquidity: Mehilainen has a comfortable liquidity
position, with a fully undrawn RCF of EUR150 million, positive FCF
generation and cash on balance sheet of EUR52 million as of
end-2021.

The company also benefits from fairly long-dated maturities, albeit
concentrated, in 2025 of the EUR150 million RCF and EUR1,210
million TLB.

ISSUER PROFILE

Mehilainen is an integrated provider of primary healthcare and
social care services, operating through 670 medical units across
Finland, Estonia, Sweden and Germany.

ESG CONSIDERATIONS

Mehilainen has an ESG Relevance Score of '4' for exposure to social
impact due to the company operating in a highly regulated
healthcare and social-care markets, with limited ability to
renegotiate higher care rates to pass on cost increases, and
dependence on the public healthcare funding policy, which has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.

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.



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G E R M A N Y
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FORTUNA CONSUMER 2022-1: Fitch Gives B-(EXP) Rating on Cl. F Notes
------------------------------------------------------------------
Fitch Ratings has assigned Fortuna Consumer Loan ABS 2022-1 DAC's
class A to F notes expected ratings with a Stable Outlook, as
listed below.

The assignment of final ratings is contingent on the receipt of
final documents conforming to information already reviewed.

   DEBT       RATING
   ----       ------
Fortuna Consumer Loan ABS 2022-1

A            LT AAA(EXP)sf     Expected Rating
B            LT AA(EXP)sf      Expected Rating
C            LT A-(EXP)sf      Expected Rating
D            LT BBB-(EXP)sf    Expected Rating
E            LT BB(EXP)sf      Expected Rating
F            LT B-(EXP)sf      Expected Rating
G            LT NR(EXP)sf      Expected Rating
R            LT NR(EXP)sf      Expected Rating
X            LT NR(EXP)sf      Expected Rating

TRANSACTION SUMMARY

Fortuna Consumer Loan ABS 2022-1 DAC is a true-sale securitisation
of a static pool of unsecured consumer loans sold by auxmoney
Investments Limited. The securitised consumer loan receivables are
derived from loan agreements entered into between
Süd-West-Kreditbank Finanzierung GmbH (SWK) and individuals
located in Germany and brokered by auxmoney GmbH (auxmoney) via its
online lending platform.

KEY RATING DRIVERS

Large Loss Expectations: auxmoney targets higher-risk borrowers
compared with traditional lenders of German unsecured consumer
loans. Fitch determined the risk score calculated by auxmoney as
the key asset performance driver.

Fitch assumes a slightly higher weighted average (WA) default base
case of 13% compared with 12.8% in the predecessor deal. This
considers the negative impact rising costs of living will have, in
particular, on low-income borrowers also present in the pool. Fitch
applied a below-the-range WA default multiple of 3.8x at 'AAAsf'
for the total portfolio. Fitch assumed a recovery base case of 35%
and a high recovery haircut of 60% at 'AAAsf'. The resulting loss
rates are the highest among Fitch-rated German unsecured loans
transactions.

Pro Rata Paydown Adds Risk: All collateralised notes start
amortising pro rata from closing. In Fitch's modelling, full
repayment of the notes is highly dependent on the length of the pro
rata period, which is driven not only by the level of credit
losses, but also by the timing of losses and prepayment rates.
Fitch views the principal deficiency ledger (PDL)-based trigger as
the most effective of the performance triggers to stop the pro rata
period in case of a meaningful performance deterioration.

Operational Risks: auxmoney operates a data- and technology-driven
lending platform that connects borrowers and investors on a
fully-digitalised basis. Fitch conducted an operational review
during which auxmoney showed a robust corporate governance and risk
approach.

Two warehouse facilities are in place, for which auxmoney
Investments Limited as seller holds a share in the junior tranche.
Assets for the transaction are selected from one of the warehouse
facilities according to the transaction's eligibility criteria,
ensuring that the seller retains sufficient risk on their own
book.

Servicing Continuity Risk Addressed: CreditConnect GmbH, a
subsidiary of auxmoney, is the servicer. Loancos GmbH acts as
back-up servicer from closing, reducing the risk of servicing
discontinuity. The back-up servicing agreement covers two
scenarios: one where CreditConnect is replaced; and one where both
CreditConnect and SWK no longer perform their contractual duties.
The high level of standby arrangements, in combination with a
liquidity reserve, reduces the risk of payment interruptions of
senior expenses and interest on the notes.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:
Downside risks have increased and Fitch has published an assessment
of the potential rating and asset performance impact of a
plausible, but worse-than-expected, adverse stagflation scenario on
Fitch's major structured finance and covered bond sub-sectors (see
"What a Stagflation Scenario Would Mean for Global Structured
Finance" dated April 2022).

Fitch expects the EMEA ABS unsecured sector in the assumed adverse
scenario to experience a "Medium Impact" on asset performance, and
a "Mild to Modest Impact" on rating performance, indicating a low
risk for rating changes. However, transactions with exposure to
non-prime borrowers may see increased negative pressure on their
non-investment-grade tranches in the adverse case.

Ratings may be negatively affected if defaults and losses are
larger and significantly more front- (for senior notes) or
back-loaded (for junior notes) than assumed, leading to higher
excess spread compression or a longer pro rata period.

-- Expected impact on the notes' ratings of increased defaults
    (class A/B/C/D/E/F);

-- Increase default rate by 10%: 'AAAsf'/'AA-sf'/'BBB+sf'/'BBB-
    sf'/'B+sf'/'CCCsf';

-- Increase default rate by 25%:
    'AA+sf'/'Asf'/'BBBsf'/'BB+sf'/'CCCsf'/'NRsf';

-- Increase default rate by 50%: 'AA-sf'/'A-sf'/'BBB-
    sf'/'BBsf'/'NRsf'/'NRsf';

-- Expected impact on the notes' ratings of decreased recoveries
    (class A/B/C/D/E/F);

-- Reduce recovery rates by 10%: 'AAAsf'/'AA-sf'/'A-sf'/'BBB-
    sf'/'BBsf'/'CCCsf';

-- Reduce recovery rates by 25%: 'AAAsf'/'AA-sf'/'BBB+sf'/'BBB-
    sf'/'CCCsf'/'NRsf';

-- Reduce recovery rates by 50%:
    'AAAsf'/'A+sf'/'BBBsf'/'BB+sf'/'NRsf'/'NRsf';

-- Expected impact on the notes' ratings of increased defaults
    and decreased recoveries (class A/B/C/D/E/F);

--- Increase default rates by 10% and decrease recovery rates by
    10%: 'AAAsf'/'A+sf'/'BBB+sf'/'BB+sf'/'B-sf'/'NRsf';

-- Increase default rates by 25% and decrease recovery rates by
    25%: 'AA+sf'/'Asf'/'BBB-sf'/'BBsf'/'NRsf'/'NRsf';

-- Increase default rates by 50% and decrease recovery rates by
    50%: 'A+sf'/'BBBsf'/'BBsf'/'NRsf'/'NRsf'/'NRsf'.

Factors that could, individually or collectively, lead to positive
rating action/upgrade:
Actual defaults lower and losses smaller than assumed would be
positive for the ratings.

Reduction in inflationary pressure on food and energy and improving
growth prospects for western European economies due to a solution
in the Ukrainian war would be positive for the ratings.

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.

USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10

Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.

DATA ADEQUACY

Fitch reviewed the results of a third-party assessment conducted on
the asset portfolio information, and concluded that there were no
findings that affected the rating analysis.

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.

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.




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I R E L A N D
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NORTHWOODS CAPITAL 26: S&P Assigns Prelim. B-(sf) Rating on F Notes
-------------------------------------------------------------------
S&P Global Ratings assigned preliminary credit ratings to
Northwoods Capital 26 Euro DAC's class A, B-1, B-2, C, D, E, and F
notes. At closing, the issuer will also issue subordinated notes.

The preliminary ratings reflect S&P's assessment of:

-- The diversified collateral pool, which primarily comprises
broadly syndicated speculative-grade senior-secured term loans and
bonds that are governed by collateral quality tests.

-- The credit enhancement provided through the subordination of
cash flows, excess spread, and overcollateralization.

-- The collateral manager's experienced team, which can affect the
performance of the rated notes through collateral selection,
ongoing portfolio management, and trading.

-- The transaction's legal structure, which S&P expects to be
bankruptcy remote.

-- The transaction's counterparty risks, which S&P expects to be
in line with its counterparty rating framework.

  Portfolio Benchmarks
                                                         CURRENT
  S&P weighted-average rating factor                    2,831.42
  Default rate dispersion                                 377.58
  Weighted-average life (years)                             5.29
  Obligor diversity measure                               110.67
  Industry diversity measure                               19.72
  Regional diversity measure                                1.21

  Transaction Key Metrics
                                                         CURRENT
  Portfolio weighted-average rating
   derived from S&P's CDO evaluator                            B
  'CCC' category rated assets (%)                           3.11
  Covenanted 'AAA' weighted-average recovery (%)           34.23
  Covenanted weighted-average spread (%)                    3.90
  Covenanted weighted-average coupon (%)                    4.50

Workout obligations

Under the transaction documents, the issuer can purchase workout
obligations, which are assets of an existing collateral obligation
held by the issuer offered in connection with bankruptcy, workout,
or restructuring of the obligation, to improve the related
collateral obligation's recovery value.

Workout obligations allow the issuer to participate in potential
new financing initiatives by the borrower in default. This feature
aims to mitigate the risk of other market participants taking
advantage of CLO restrictions, which typically do not allow the CLO
to participate in a defaulted entity's new financing request.
Hence, this feature increases the chance of a higher recovery for
the CLO. While the objective is positive, it can also lead to par
erosion, as additional funds will be placed with an entity that is
under distress or in default. S&P said, "This may cause greater
volatility in our ratings if the positive effect of the obligations
does not materialize. In our view, the presence of a bucket for
workout obligations, the restrictions on the use of interest and
principal proceeds to purchase those assets, and the limitations in
reclassifying proceeds received from those assets from principal to
interest help to mitigate the risk."

Rating rationale

Under the transaction documents, the rated notes will pay quarterly
interest unless a frequency switch event occurs. Following this,
the notes will switch to semiannual payments. The portfolio's
reinvestment period will end approximately 2 years after closing.

The portfolio is well-diversified, primarily comprising broadly
syndicated speculative-grade senior-secured term loans and
senior-secured bonds. Therefore, S&P has conducted its credit and
cash flow analysis by applying its criteria for corporate cash flow
CDOs.

S&P said, "In our cash flow analysis, we used the EUR450 million
target par amount, the covenanted weighted-average spread (3.90%),
the reference weighted-average coupon (4.50%), and the identified
portfolio's weighted-average recovery rates at each rating level.
We applied various cash flow stress scenarios, using four different
default patterns, in conjunction with different interest rate
stress scenarios for each liability rating category.

"Under our structured finance sovereign risk criteria, we consider
that the transaction's exposure to country risk is sufficiently
mitigated at the assigned preliminary ratings.

"Until the end of the reinvestment period on July 15, 2024, the
collateral manager may substitute assets in the portfolio for so
long as our CDO Monitor test is maintained or improved in relation
to the initial ratings on the notes. This test looks at the total
amount of losses that the transaction can sustain as established by
the initial cash flows for each rating, and it compares that with
the current portfolio's default potential plus par losses to date.
As a result, until the end of the reinvestment period, the
collateral manager may through trading deteriorate the
transaction's current risk profile, as long as the initial ratings
are maintained.

"We expect the transaction's documented counterparty replacement
and remedy mechanisms to adequately mitigate its exposure to
counterparty risk under our current counterparty criteria.

"The transaction's legal structure and framework is expected to be
bankruptcy remote, in line with our legal criteria.

"Following our analysis of the credit, cash flow, counterparty,
operational, and legal risks, we believe our preliminary ratings
are commensurate with the available credit enhancement for the
class A to E notes. Our credit and cash flow analysis indicates
that the available credit enhancement for the class B-1, B-2, and C
notes could withstand stresses commensurate with higher ratings
than those we have assigned. However, as the CLO will be in its
reinvestment phase starting from closing, during which the
transaction's credit risk profile could deteriorate, we have capped
our preliminary ratings assigned to the notes.

"For the class F notes, our credit and cash flow analysis indicates
that the available credit enhancement could withstand stresses that
are commensurate with a lower rating. However, we have applied our
'CCC' rating criteria resulting in a preliminary 'B- (sf)' rating
on this class of notes."

The ratings uplift (to 'B-') reflects several key factors,
including:

-- The available credit enhancement for this class of notes is in
the same range as other CLOs that S&P rates, and that has recently
been issued in Europe.

-- The portfolio's average credit quality is similar to other
recent CLOs.

-- S&P's model generated break-even default rate at the 'B-'
rating level of 25.57% (for a portfolio with a weighted-average
life of 5.29 years), versus if it was to consider a long-term
sustainable default rate of 3.1% for 5.29 years, which would result
in a target default rate of 16.40%.

-- The actual portfolio is generating higher spreads and
recoveries versus the covenanted thresholds that S&P has modelled
in S&P's cash flow analysis.

-- For S&P to assign a rating in the 'CCC' category, it also
assessed (i) whether the tranche is vulnerable to non-payments in
the near future, (ii) if there is a one in two chances for this
note to default, and (iii) if it envisions this tranche to default
in the next 12-18 months.

-- Following this analysis, S&P considers that the available
credit enhancement for the class F notes is commensurate with a
preliminary 'B- (sf)' rating.

-- Taking the above factors into account and following S&P's
analysis of the credit, cash flow, counterparty, operational, and
legal risks, it believes that its preliminary ratings are
commensurate with the available credit enhancement for all the
rated classes of notes.

S&P said, "In addition to our standard analysis, to provide an
indication of how rising pressures among speculative-grade
corporates could affect our ratings on European CLO transactions,
we have also included the sensitivity of the ratings on the class A
to E notes to five of the 10 hypothetical scenarios we looked at in
our publication "How Credit Distress Due To COVID-19 Could Affect
European CLO Ratings," published on April 2, 2020.

"As our ratings analysis makes additional considerations before
assigning ratings in the 'CCC' category, and we would assign a 'B-'
rating if the criteria for assigning a 'CCC' category rating are
not met, we have not included the above scenario analysis results
for the class F notes."

The transaction securitizes a portfolio of primarily senior-secured
leveraged loans and bonds, and it is managed by Northwoods European
CLO Management LLC.

Environmental, social, and governance (ESG) factors

S&P said, "We regard the exposure to ESG credit factors in the
transaction as being broadly in line with our benchmark for the
sector. Primarily due to the diversity of the assets within CLOs,
the exposure to environmental credit factors is viewed as below
average, social credit factors are below average, and governance
credit factors are average. For this transaction, the documents
prohibit assets from being related to certain activities,
including, but not limited to the following: activities that are in
violation of "The Ten Principles of the UN Global Compact"; an
obligation of a company whose revenues are more than 0% derived
from the development, production, maintenance, trade, or
stockpiling of weapons of mass destruction; any obligor with
involvement in tobacco production; and any obligation of a company
whose revenues are more than 1%. derived from the mining or
electrification of thermal coal or oil sands extraction.
Accordingly, since the exclusion of assets from these industries
does not result in material differences between the transaction and
our ESG benchmark for the sector, no specific adjustments have been
made in our rating analysis to account for any ESG-related risks or
opportunities."

  Ratings List

  CLASS    PRELIMINARY    AMOUNT     INTEREST RATE     CREDIT
           RATING       (MIL. EUR)                  ENHANCEMENT(%)

   A       AAA (sf)       267.60      3mE + 1.12%      40.53

   B-1     AA (sf)         32.00      3mE + 2.30%      28.42

   B-2     AA (sf)         22.50            3.15%      28.42

   C       A (sf)          28.90      3mE + 3.85%      22.00

   D       BBB- (sf)       30.00      3mE + 5.25%      15.33

   E       BB- (sf)        18.00      3mE + 7.57%      11.33

   F       B- (sf)         15.00      3mE + 9.63%       8.00

   Subordinated  NR        33.95         N/A             N/A

  NR--Not rated.
  N/A--Not applicable.
  3mE--Three-month Euro Interbank Offered Rate.




===================
L U X E M B O U R G
===================

LOARRE INVESTMENTS: Fitch Gives 'BB(EXP)' to EUR850MM Secured Notes
-------------------------------------------------------------------
Fitch Ratings has assigned Loarre Investments S.a.r.l.'s EUR850
million senior secured notes an 'BB(EXP)' rating. The Outlook is
Stable.

The final rating is contingent upon receipt by Fitch of final
documents conforming to information already received, as well as
the final pricing on the proposed notes.

RATING RATIONALE

The rating reflects Loarre's stable revenue under its silent
partnership agreement (SPSA) with LaLiga, the second-most followed
football league in the world, but is weighed down by loose debt
structure features and the high leverage.

Loarre's underlying cashflow is generated from LaLiga, the most
popular sports league in Spain, underpinned by long-dated
visibility of both domestic media TV contracts that have recently
been renewed, and international contracts that are well-diversified
and with potential growth. LaLiga has some of the world's
most-renowned clubs and players, with a strong international
on-pitch performance, which has fostered a dedicated and stable fan
base.

Three of the major clubs in Spanish football and the Spanish Royal
Football Federation are in dispute with Loarre's investment in
LaLiga, which they have challenged in the courts. Despite this,
Fitch sees multiple layers of protection as well as economic
incentives that should insulate debt investors from the risk of
these legal challenges if the key transaction documents were to be
nullified. It should be noted that the transaction legal counsel
has opined that LaLiga has the capacity to enter into all
transaction documents.

KEY RATING DRIVERS

Solid Fan Support with Soft Salary Cap - Revenue Risk, League
Business Model: 'Midrange'

LaLiga has a long history of strong fan support fostered by the
league's promotion/relegation structure. It is one of the most
followed football leagues in the world, with some of the most
successful and popular clubs. This strong fan base facilitates the
sale of the TV rights both domestically and internationally. Unlike
other European football leagues, it has a soft salary cap in place,
although this is relative to each club's budget, creating a large
disparity in the level of caps, especially given the domination of
two high-profile clubs. Despite this, the measures have had some
positive impact on clubs' financial sustainability and the league's
overall competitiveness.

High Visibility of Revenue — Revenue Risk, National Television
and Other League Revenue: 'Strong'

LaLiga has recently contracted domestic TV rights for the next five
seasons, creating high visibility on the majority of its revenue.
Overall, Fitch expects the share of contracted revenue to be almost
90% in the 2022/23 season before falling to 60% in the 2026/27
season. LaLiga is a top-tier sport asset, particularly to the main
broadcasters in Spain. Internationally, the strong on-pitch
performance of its world-class clubs and the historical attraction
of star players have developed a strong global fan base, only
second to the English Premier League.

Moderate-to-Low Growth Prospects - League Initiatives and Growth
Prospects: 'Midrange'

Despite football being the undisputable first-tier sport in Spain,
Fitch sees moderate growth potential in the domestic market due to
its existing strong position. Nonetheless, there are broader growth
opportunities internationally as a result of the widespread
commercial presence of LaLiga. This should allow LaLiga to further
develop its fan base and manage relationships with international
broadcasters.

Concentrated Bullet, Loose Covenants - Debt Structure: 'Weaker'

The debt structure comprises senior fixed-rate notes with bullet
maturity in 2029 and a super senior revolving credit facility
(RCF). The 'Weaker' assessment is driven by the concentrated bullet
maturity leading to heightened refinancing risk near maturity and
weak covenant package that allows additional debt to be raised
while leverage is below 6x, among others. Debt service is supported
by a six-month interest-funded debt service reserve account (DSRA)
and a EUR40 million RCF, both of which provides good liquidity to
support interest payment, but does not mitigate the refinancing
risk. Many covenants will be waived if the debt's rating is
upgraded to investment grade.

PEER GROUP

Loarre differs from all other league ratings through the
involvement of a private equity-owned SPV, which is the ultimate
issuer of the debt. This creates some structural weaknesses
compared with peers'. Compared with the NFL league's wide funding
programme (Football Funding LLC, A/Stable), Loarre has weaker KRD
assessments due to the structural and governance strengths of the
NFL, whose leverage is also significantly lower at below 2.0x
compared with Loarre's 5.0x. Loarre can also be compared with club
ratings such as Inter Media (B+/Stable), which however has
significantly higher operational risk than Loarre given its
franchise nature.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Failure to deleverage below 6.0x on a sustained basis under
    Fitch rating case;

-- Adverse outcome of litigation against the transaction
    resulting in significant uncertainty over Loarre's ability to
    service debt obligations.

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Reduction of net debt /EBITDA to sustainably below 4.0x under
    Fitch rating case.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Sovereigns, Public Finance
and Infrastructure 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 three 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.

TRANSACTION SUMMARY

CVC Capital Partners (CVC) is investing around EUR2 billion in
LaLiga in exchange for around 8.2% of LaLiga's broadcasting
audio-visual (AV) revenue and other minor commercial activities for
50 years. The monies will be on-lent to participating clubs and
used for growth investments (70%), repayment of debt (15%) and
budget related to players (15%), under the project framework of
LaLiga Impulso (Boost LaLiga).

CVC's equity contribution amounts to EUR1.2 billion, and the senior
secured notes raised amount to EUR850 million.

LaLiga is a Spanish Association formed by 42 football clubs that
comprise the top two football leagues in Spain (Primera Division,
or LaLiga Santander, and Segunda Division, or LaLiga Smartbank).
LaLiga is responsible for organising such competitions, negotiating
the AV rights of LaLiga as a single product (both nationally and
internationally), and managing other non-broadcasting revenue.
LaLiga is mandated by law to manage the AV rights, but it does not
own them as they belong to the clubs. To date, 39 out of the 42
clubs have agreed to the deal.

FINANCIAL ANALYSIS

Fitch expects initially high leverage at financial year ending June
2022, due to a period of pre-agreed gradual increase of
distributable net income share. Fitch therefore assesses LaLiga's
financial profile between FY23 and FY27. Under the Fitch rating
case this results in net debt/EBITDA decreasing to 7.0x by FY23 and
5.0x by FY24, and below 5.0x in FY25, before stabilising at that
level. Average net debt/EBITDA between 2023 and 2027 stands at
5.0x.

Legal Risk

The transaction is exposed to legal risk as three major clubs in
Spanish football and the Spanish Royal Football Federation have
explicitly challenged the transaction's structure in the courts.
Despite this, several layers of protection to noteholders are
available.

Firstly, upon review of legal opinions prepared by transaction
counsel, it is Fitch's understanding that LaLiga has full capacity
to enter into the transaction documents and that the litigation
outlined above should be dismissed, either by the Courts of First
Appeal or by the higher courts.

Secondly, in case of an adverse court outcome declaring any of the
investment documents null and void or if there is a change in
regulation affecting LaLiga, the nullity agreement entered into by
Loarre and LaLiga structures an orderly wind down of the
transaction.

Thirdly, in the unlikely case that the nullity agreement is also
declared null and void due to an adverse court ruling, Fitch
understands from the legal counsel that the general provisions of
the Spanish Civil Code will apply and both sides will be required
to immediately return to the other the balance resulting from
offsetting the amounts paid by each of them, plus the legal
interest applied to these amounts. In the event of delay to this
repayment Fitch sees sufficient liquidity to cover roughly 18
months of interest, and incentives for CVC to support debt
obligations in the short term, given the share pledge to lenders
and the significant equity CVC has at stake in the investment.

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.

   DEBT                   RATING
   ----                   ------
Loarre Investments S.a r.l.

Loarre Investments       LT BB(EXP)    Expected Rating
S.a r.l. /  
Senior Secured Debt/
1 LT


PUMA INT'L: Fitch Affirms 'BB' Rating on Sr. Unsecured Debt
-----------------------------------------------------------
Fitch Ratings has affirmed Puma Energy's Holdings Pte. Ltd's (Puma
Energy) Long-Term Issuer Default Rating (IDR) at 'BB-' and Puma
International Financing S.A.'s senior unsecured instruments at
'BB-' with a Recovery Rating at 'RR4'. The Outlook is Stable.

The affirmation reflects Fitch's view that Puma Energy's expected
infrastructure disposal will have a neutral impact on its adjusted
debt. Fitch forecasts gross leverage at around 4.0x on a funds from
operations (FFO) lease-and-readily marketable inventory (RMI)
adjusted basis. The rating is constrained by weak fixed charge
cover ratios amid higher rental cost post infrastructure asset
disposal, as well as certain volatility in profitability, for both
EBITDAR and free cash flow (FCF) margins.

The ratings continue to reflect the group's geographical and
business diversification, strong underlying demand drivers, which
are partly offset by inherent cash flow volatility from its
sizeable emerging-market exposure. Following the latest
recapitalisation, Fitch views Trafigura as more akin to a
supportive financial investor looking to dispose of its controlling
stake in the foreseeable future. Fitch may reassess its approach if
the parent's behaviour changes, leading to a detrimental impact on
Puma Energy's creditor group.

KEY RATING DRIVERS

Standalone Rating Approach Retained: Fitch views Trafigura's 96.6%
shareholding in Puma Energy as more aligned with an investment that
it is looking to dispose of over the four-year rating horizon than
a fully integrated business. Fitch therefore analyses Puma Energy
on standalone basis despite Trafigura's 96.6% ownership. Changes in
Trafigura's behaviour leading to a material cash leakage from Puma
Energy may lead us to reassess Fitch's view of linkage under its
Parent and Subsidiary Linkage (PSL) Criteria.

Disposal Neutral to Adjusted Debt: Increase in lease-equivalent
debt, due to higher rental costs, will largely offset a reduction
in gross debt from the proceeds of the group's USD1.3 billion
infrastructure asset disposal. It will increase rental costs to
USD281 million per year, under Fitch's Corporate Rating Criteria
(USD31 million above cash rental cost), capitalised at a 6.5x
multiple. The transaction is subject to regulatory approvals and is
expected to complete in 3Q22. Puma Energy plans to use USD285
million to prepay part of its subordinated shareholder loan from
Trafigura on disposal of its infrastructure assets.

Leverage Adequate for Rating: Fitch expects FFO RMI- and
lease-adjusted leverage of around 4.0x when the disposal is
completed. This is on the cusp of Fitch's positive rating
sensitivity and 1.0x higher than expected previously, post the
group's rights issue in 2021. Puma Energy has announced a 2.5x net
debt/ EBITDA (pre-IFRS 16) medium-term target (not adjusted for
inventory), which it expects to comfortably meet in 2023.

Weak Fixed Charge Cover: The rating is constrained by its weak
RMI-adjusted FFO fixed charge cover ratio, which Fitch forecasts at
around 1.5x against 2.5x previously, due to rental costs being
twice as high in 2023 relative to 2021 levels. Although a higher
share of fixed (rental) costs is a burden on Puma Energy's credit
profile, it is somewhat mitigated by greater clarity on the group's
financial policy suggesting some financial discipline.

Lower Earnings: Fitch expects EBITDA (after rents) to trend towards
USD270 million (versus USD470 million previously estimated) over
the next four years. This follows disposals of operations in Angola
(5% of volumes in 2020), Pakistan, and Congo DRC during 2021,
incorporates an USD140 million impact from the infrastructure
disposal and captures slow volume growth over 2022-2025 with some
fixed cost reduction.

Standalone Liquidity Improved: Puma Energy has extended an expanded
revolving credit facility (RCF) by nearly USD100 million more than
previously from a wide pool of banks. A portion of the facility has
a tenor of two years, now included in our liquidity ratio.
Trafigura no longer provides the group its USD500 million committed
nor USD1 billion uncommitted facilities, which were never drawn.

Disposals Reduce Scale: Fitch expects EBITDAR at above USD500
million, which still maps to 'BB' mid-point for scale, although
lower than previously forecast (USD700 million in 2019). Puma
Energy's retail segment is reduced by nearly 550 sites on disposals
of operations in Pakistan and Angola. Angolan operations once
contributed a significant share of reported adjusted EBITDA, before
falling over the years to around 5% in 2021.

Strong Demand Drivers: Puma Energy benefits from strong underlying
demand drivers in emerging markets. It has operations in nearly 40
countries, mainly in emerging markets, with the top 10 contributing
around 75% of its reported 2021 EBITDA (including discontinued
operations, pre-IFRS16). Exposure to emerging markets can make cash
flows more volatile due to currency movements, as experienced in
2020, among other factors.

Limited Oil Price Risk: Puma Energy hedges its physical fuel
supply. All of its supply stock is either pre-sold or hedged
against price fluctuations. Therefore, in evaluating leverage and
interest coverage ratios, Fitch excludes debt associated with
financing RMI and reclassifies the related interest costs as cost
of goods sold. The difference between RMI lease-adjusted and
RMI-unadjusted lease-adjusted FFO net leverage is 0.5x-1.5x.

DERIVATION SUMMARY

Puma Energy's closest peer is Vivo Energy plc (BB+/Stable), which
operates on a smaller scale and with higher concentration in Africa
(over 20 countries). Vivo Energy's capex intensity was lower than
that of Puma Energy, whose significant investments in midstream
infrastructure did not yield sufficient cash flows and led to
increased leverage.

Fitch expects Puma Energy's RMI lease-adjusted gross leverage at
4.0x following its rights issue and various disposals, including
the planned infrastructure sale. This still remains above the
leverage of Vivo Energy, whose rating is supported by a
cash-generative and conservative financial profile, with RMI
lease-adjusted net leverage below 1x.

Puma Energy's retail operations can be compared, to some extent,
with those of EG Group Limited (B-/Positive), a global petrol
filling stations and convenience retail/ food services operator. EG
Group is larger than Puma Energy, its overall scale and
diversification have improved through acquisitions and the group is
present in the mature European, US and Australian markets.

EG has higher exposure to more profitable convenience and
food-to-go retail than Puma Energy, leading to higher expected
EBITDA and FFO margins of around 5% and nearly 3%, respectively,
versus around 2% and 1.5% for Puma Energy. EG's rating reflects a
weaker financial profile following a period of mainly debt-funded
acquisitions, with FFO lease-adjusted gross leverage falling below
8.0x over the next 12-18 months.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Its Rating Case for the Issuer

-- Sales volumes at 16,400,000 m3 for 2022, growing 1.2% in 2023
and 2% from 2024

-- Stable gross profit unit margin over 2022-2025 at USD56-58/m3

-- Working capital outflow of USD76 million in 2022

-- Capex of USD202 million in 2022, followed by USD174 million per
year in 2023-2025

-- Infrastructure disposals to yield USD1,300 million gross
proceeds

-- Cash inflow of USD74 million in relation to 1H22 performance of
the infrastructure business

-- No foreign-exchange impact following Angola disposal

-- No dividends or further M&A (post infrastructure disposal)

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Evidence of sustained unit margins and FFO margin while
maintaining EBITDAR at above USD500 million

-- RMI- and lease- adjusted net debt/EBITDAR sustained below 4.0x
in combination with a record of compliance with its financial
policy

-- RMI-adjusted EBITDAR/interest + rents cover sustainably above
2.0x

-- Enhanced financial flexibility translated into a record of
positive free cash flow (FCF) generation and a sustainable
standalone liquidity profile

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Lack of progress to refinance/extend its RCF by 1Q23

-- RMI- and lease- adjusted net debt/EBITDAR sustained above 5.0x

-- Change in Trafigura's behaviour or policy towards Puma Energy
leading to a potential material cash leakage from the subsidiary,
resulting in Fitch reviewing the linkage with Trafigura under its
PSL Criteria. Assessment of open legal ring-fencing permitting
value extraction from subsidiary combined with free potential
access & effective control of subsidiary's cash by the parent,
especially in combination with the above-mentioned factors, could
result in negative rating action.

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

Liquidity Adequate: As of December 31, 2021, Puma Energy had USD364
million cash, after deducting USD88 million restricted cash
relating to the sale of its Australian business. It has refinanced
its committed bank facilities at a higher level of nearly USD700
million, incorporating a two-year tranche of around USD230 million,
which Fitch includes in the liquidity score calculation under
Fitch's methodology.

Available liquidity is lower as Trafigura has now cancelled both
its USD500 million committed and USD1 billion uncommitted
facilities to Puma Energy, used as back-up facilities but were
never drawn. However, with the two-year tranche Puma Energy has
improved its own standalone liquidity.

Subsequent to the completion of the infrastructure disposal and use
of proceeds to repay a number of outstanding credit facilities, the
remaining USD745 million senior notes will mature in 2026, with
materially reduced refinance risk and the potential need for
back-up facilities. Puma Energy also relies on local banks to
provide operating company debt (USD151 million at end-2021), which
are drawings under uncommitted facilities.

ISSUER PROFILE

Puma Energy is a globally integrated midstream and downstream oil
group, operating in nearly 40 countries worldwide across the
Americas, Africa, Europe and Asia Pacific.

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.



===========
T U R K E Y
===========

PETKIM PETROKIMYA: S&P Affirms Prelim. 'B+' LT Issuer Credit Rating
-------------------------------------------------------------------
S&P Global Ratings revised its outlook on Turkey-based
petrochemical producer Petkim Petrokimya to negative from stable
and affirmed its 'B+' preliminary long-term issuer credit rating on
the company.

The negative outlook on Petkim primarily reflects potential
downward rating pressure from a similar action on Turkey.

The rating action on the company stems solely from the potential
downward rating pressure from the similar rating action on Turkey.
S&P said, "While we consider that Petkim's 100% hard currency
revenue should support EBITDA and naturally hedge its hard-currency
debt, we believe the government would likely restrict access to
foreign-exchange currencies for Turkish companies in a default
scenario, creating foreign-currency debt servicing challenges for
Petkim. This is because all of the company's earnings-generating
assets are in Turkey, and it has no treasury operations outside of
the country. Given the economic fallout from the Russia-Ukraine
conflict, global monetary tightening, and possible policy missteps
in the run-up to Turkey's parliamentary and presidential elections
in mid-2023, balance-of-payments and financial stability risks
could materialize over the next 12 months. This could lead to a
lower sovereign rating and T&C assessment on Turkey and in turn cap
our rating on Petkim at the T&C level because we believe that the
company would not be able to continue honoring its foreign currency
debt obligations under potential restrictions on access to foreign
currency or restrictions on the ability to transfer foreign
currency abroad."

Petkim's 'b+' stand-alone credit profile reflects the company's
strong market position in Turkey. Partially offsetting this are
limited geographic diversity, small operations, and high country
risk and our expectation that the company will generate robust free
operating cash flow (FOCF) after 2022, which will help it
deleverage to S&P Global Ratings-adjusted debt to EBITDA of 1.6x in
2024 from about 3.6x in 2022.

S&P said, "The final ratings depend on the successful refinancing
of the $500 million 5.875% notes due 2023 by tender offer and our
receipt and satisfactory review of all final transaction
documentation. Accordingly, the preliminary rating should not be
construed as evidence of a final rating. If we do not receive final
documentation within a reasonable time frame, or if final
documentation departs from the material reviewed, we reserve the
right to withdraw or revise the ratings. Changes of notable
importance could include, but would not be limited to, the use of
note proceeds, maturity, size, and conditions of the notes,
financial and other covenants, security, and ranking."

The negative outlook on Petkim primarily reflects potential
downward rating pressure from a similar action on Turkey.

S&P could lower its rating on Petkim if:

-- S&P revised down its 'B+' T&C assessment on Turkey, which could
result from it lowering the foreign currency rating on the
sovereign.

-- S&P lowered the foreign currency sovereign rating and Petkim
fails to pass its sovereign stress test.

-- The company's weighted S&P Global Ratings-adjusted debt to
EBITDA increases beyond 3x without the prospect of a swift
recovery. This could result from a major contraction in
petrochemicals margins, higher capital expenditure and dividend
payments than S&P anticipates, or a large debt-financed project.

A outlook revision to Petkim would only follow a similar action to
Turkey.

Petkim is Turkey's only integrated petrochemical producer. Each
year, it produces about four million tons (gross average) of
olefins, aromatics, and intermediates based on naphtha. Petkim
operates 15 main and seven auxiliary processing units at one
chemical production site and has a 70% shareholding in Petlim, an
integrated container port. Both the production facilities and the
Petlim container terminal are on the Petkim Peninsula. Petkim
generated sales of about $3.2 billion in 2021, 59% of which came
from Turkey, where it has a 15% market share, and 41% from exports
mainly to the EU and through its trading operations. It generated
$62 million in gross profit last year.

Petkim is 51%-owned by STEAS, a fully owned subsidiary of SOCAR.
The remaining 49% of shares float freely on the Istanbul Stock
Exchange and had a market capitalization of Turkish lira 24.7
billion as of April 5, 2022.




=============
U K R A I N E
=============

[*] UKRAINE: President Discusses Need for Fin'l. Support With IMF
-----------------------------------------------------------------
Natalia Zinets and Alexander Winning at Reuters report that
Ukrainian President Volodymyr Zelenskiy said on May 16 he had
discussed the need for financial support for Ukraine's economy
during a video conference with International Monetary Fund Managing
Director Kristalina Georgieva.

"The IMF is our important partner.  We look forward to further
fruitful joint work in maintaining financial stability of Ukraine,"
Reuters quotes Mr. Zelenskiy as saying on Twitter.

Mr. Zelenskiy's office said in a statement after the video
conference that he had asked for financial support to be sped up
for the country, which is trying to fend off Russia's Feb. 24
invasion, Reuters relates.

According to Reuters, he said the state budget faced a monthly
deficit of about US$5 billion because the government had to
increase war-related spending while revenues have shrunk as many
businesses have shut down and stopped paying taxes.




===========================
U N I T E D   K I N G D O M
===========================

AMANDA WAKELEY: Set for Liquidation Following Administration
------------------------------------------------------------
According to FashionUnited's Huw Hughes, the eponymous fashion
brand of British designer Amanda Wakeley is reportedly set to be
liquidated after falling into administration in May 2021.

Joint administrators from Smith & Williamson were appointed last
year as the brand's trading was hit hard by the pandemic, in
particular its Mayfair store and concessions which were forced to
shut in line with various lockdowns, FashionUnited relates.

Since then, trading continued through its online store and premium
teleshopping channels, FashionUnited notes.

But according to FashionUnited, a statement by administrators Smith
& Williamson, seen by BusinessLive, said: "[Amanda Wakeley] needed
additional working capital investment to proceed in its intended
strategic direction.  Regrettably, that funding was not
forthcoming."

Amanda Wakeley opened its first store in Chelsea in 1990 and
counted Princess Diana and former prime minister Theresa May among
its fans.

The company specialised in dresses, bridal and occasion wear -- all
categories that suffered during the pandemic when large social
events like weddings and Royal Ascot were cancelledm FashionUnited
discloses.

When it collapsed last year, joint administrator Colin Hardman
said: "Despite an extensive marketing process, attracting
significant interest, and a huge effort from Amanda Wakeley and the
company's staff, it was not possible to find a buyer for the
business", FashionUnited recounts.


AWAZE LTD: S&P Affirms B- LongTerm ICR & Alters Outlook to Stable
-----------------------------------------------------------------
S&P Global Ratings revised the outlook on European holiday rental
operator Awaze Ltd. to stable from negative and affirmed its 'B-'
long-term issuer credit rating on the company. S&P also affirmed
its 'B' issue rating and '2' recovery rating on the EUR715 million
first-lien debt and its 'CCC' issue rating and '6' recovery rating
on the EUR167 million second-lien debt.

S&P said, "Our stable outlook reflects our view that steady
staycation demand for the properties listed on its websites will
enable the group to maintain adjusted debt to EBITDA of 7.0x-8.0x
and positive free operating cash flow (FOCF, after lease
payments)."

Staycation trends support S&P's forecast of Awaze's revenue growth
in 2022. Average prices across the leisure accommodation sector in
Europe were significantly higher than 2019 levels as international
travel constraints drove the staycation demand in summer 2021.
There was robust demand for self-catering holidays in the U.K., and
the leisure businesses benefitted from the temporary reduction of
VAT rates. In the U.K., Awaze reported average weekly rates of
EUR200-EUR270 from the cottages and parks listed on its sites
(about 35%-70% higher than 2019 levels). Due to travel
restrictions, pan-European holiday breaks listed on the Novosal
sites that previously attracted international holiday travellers,
particularly from Germany (about 15%-20% of customers), were
diverted to domestic customers, albeit at a lower price uplift.
These positive sector pricing trends and higher occupancy rates
helped Awaze report adjusted EBITDA of EUR156 million in 2021
(about 25% higher than 2019 levels). Awaze's adjusted debt of
EUR1,244 million has not changed much throughout the pandemic, but
the increasing earnings improved adjusted debt to EBITDA to 8.0x in
2021 compared to 9.8x in 2019. Early trading trends in 2022 suggest
that industry operators have exhibited pricing discipline and
maintained the 2021 levels of pricing prices, which supports S&P's
revenue growth forecast of 10%-15% (including Landal) in 2022.

The proposed repayment of outstanding financial debt from the
Landal sale proceeds mitigates the risk of an unsustainable capital
structure at Awaze. Platinum Equity acquired Wyndham Worldwide's
European vacation rental business for EUR1.1 billion in May 2018
and renamed it Awaze Ltd. The sponsor funded the acquisition with
EUR750 million of debt and EUR350 million of equity and
subsequently raised the first-lien add-on of EUR130 million in Dec
2019 to bolster liquidity. In June 2021, Awaze signed an agreement
to sell its Landal business (representing about 50% of 2021
management-adjusted EBITDA) to Roompot for EUR1 billion. Closing of
the transaction is subject to customary closing conditions. The
Roompot and Landal combination will result in the largest holiday
park operators in the Netherlands, causing Dutch competition
authorities to undertake a deeper investigation into the impact of
this acquisition. S&P said, "We understand Awaze will use the
proceeds to repay all its EUR882 million of financial debt. The
sponsors have not yet decided on the pro forma capital structure
for the remnant business. We intend to review the ratings again
after the Landal transaction closes and upon receiving additional
information regarding the pro forma capital structure and updated
financial policy on shareholder returns and acquisition strategy."

The business profile of the remnant business after Landal disposal
will be relatively weaker because of the competitive nature of the
agency business. Pro forma the Landal sale, the continuing business
will essentially be an agency model business (except for James
Villa Holidays). It will include well-known websites such as
Hoseasons, cottages.com, and Novosol.com. The agency segment of the
vacation rental market is fragmented and highly competitive. A
strong brand name helps attract and retain landlords and drives
direct guest traffic to these websites. As such, marketing expenses
(including TV, radio, and digital advertising, as well as keyword
search spending on Google) are necessary to build and maintain
brand recall. The sector includes marketplace operators such as
Airbnb and Vrbo (part of Expedia Group) with more considerable
financial resources to spend on marketing and merger and
acquisition opportunities. Awaze is concentrated in Europe, with
more than 100,000 properties listed on its websites. Awaze offers
the full extent of managed services (including distribution,
payments, calendar management, linen service, and property
maintenance) to holiday home owners, whereas Airbnb and Vrbo's
assistance is focused on listing and advisory services. An agent's
ability to exclusively list holiday homes in sought-after tourist
locations provides a competitive advantage. Awaze lists most
properties exclusively on its Novosol and U.K. cottages websites,
but it does not have the same exclusivity with its U.K. park
units.

Inflationary and recessionary influences could undermine demand for
discretionary spending such as holidays. Weak consumer confidence
represents a risk to Awaze's short-term growth potential, but Awaze
is relatively better placed than other operators in the leisure
space because about 75%-85% of its cost base is variable due to its
agency model.

The agency business benefits from positive working capital float,
translating into strong cashflow conversion. Awaze's agency segment
benefits from the working capital float arising on account of the
time difference between the fees collected from the guests and dues
paid out to homeowners. Generally, Awaze collects the entire rental
fees from the guest about two months ahead of the commencement of
their stay, before paying the homeowner in the month of the guest's
stay or the month following the guest's stay. Because of this
float, the group reported positive FOCF (after lease payment) of
EUR32 million in 2020 as its customers opted to roll over their
2020 bookings to 2021 or took vouchers rather than requesting
refunds. The benefits reversed in 2021 with FOCF (after lease
payment) of negative EUR10 million.

Acquisitions could become more of a focus as the group continues to
build scale and offer a wide variety of property types in its key
markets. S&P expects the group to use the financial flexibility
available to undertake bolt-on acquisitions and add access to new
holiday homes in its key markets. The group completed four bolt-on
acquisitions for an enterprise value of about EUR24.5 million in
2021 and has undertaken four additional bolt-on acquisitions since
the beginning of the year for a total cash consideration of EUR39
million. A typical sector EBITDA multiple for acquisition tends to
be 10x-12x.

S&P said, "Our stable outlook reflects our view that steady
staycation demand for properties in the U.K. and Denmark will
enable the group to maintain the current performance levels with
adjusted debt to EBITDA between 7.0x-8.0x and positive FOCF (after
lease payments).

"Given the pending Landal disposal and debt repayment, we consider
a downward rating action relatively unlikely. However, we could
consider a rating action if the proposed Landal transaction does
not conclude and the benefits of staycation trends do not translate
into improving credit metrics, escalating the risk of an
unsustainable capital structure.

"We consider any positive rating action unlikely before reviewing
Awaze's pro forma capital structure and assessment of the sponsor's
financial policy in the next phase of its investment in Awaze. It
would also depend on the operating performance of the continuing
businesses and their ability to improve scale and margins in an
inflationary environment."

Environmental, Social, And Governance

ESG credit indicators: E-2, S-2, G-3

S&P said, "Social factors are a moderately negative consideration
in our credit rating analysis of Awaze. During the pandemic, travel
restrictions, in particular, affected its international clients
(representing about 20% of revenue). These risks are being offset,
however, by the strong rise in staycations among domestic
customers. Governance factors are a moderately negative
consideration, as is the case for most rated entities owned by
private-equity sponsors. We believe the company's highly leveraged
financial risk profile points to corporate decision-making that
prioritizes the interests of the controlling owners. This also
reflects generally finite holding periods and a focus on maximizing
shareholder returns."


CASTLE UK: S&P Assigns 'B+' LongTerm ICR, Outlook Stable
--------------------------------------------------------
S&P Global Ratings assigned its 'B+' long-term issuer credit rating
to homebuilder Castle UK Finco PLC. S&P also assigned its 'B+'
issue rating, with a recovery rating of '4', to the developer's
GBP815 million senior secured notes.

The stable outlook on Castle reflects its solid cash flow supported
by an EBITDA margin of about 19%, prudent working capital
management, and S&P's expectation that Castle will sustain a
prudent financial policy that does not entail aggressive dividend
distributions.

On March 31, 2022, Apollo Global Partners acquired U.K. homebuilder
Miller Homes Group Holdings PLC (B+/Stable/--), with Castle UK
Finco (Castle) becoming Miller Homes' new holding company.

S&P said, "We understand Apollo has funded the acquisition using a
GBP815 million bridge facility, which it replaced with the recently
issued senior secured notes, and the remainder with equity of about
GBP500 million. Following the acquisition, we expect Castle's
interest coverage ratio to be 5.0x-5.5x in 2022 and about 4.0x in
2023, with S&P Global Ratings-adjusted debt to EBITDA of about 4.0x
in 2022 and 3.6x-3.7x in 2023.

"Following the recent transaction, we expect Castle's leverage to
be about 4.0x in 2022 before decreasing to about 3.6x-3.7x in 2023
thanks to robust EBITDA generation on the back of supportive market
conditions. Our base case for Castle reflects our view that the
revenue of its operating subsidiary, Miller Homes, is likely to
exceed pre-COVID-19 pandemic levels in 2022. We estimate
completions will result in unit volume growth of about 7% per year
in 2022 and 2023, from about 3,800 units in 2021. Furthermore, we
expect Castle to benefit from positive market price dynamics in
2022-2023 on the back of a favorable supply-demand balance,
although we think the price increase will be more modest than the
strong 5-6% increase in the average selling price in 2021. This
should result in revenue growth of 5%-7% annually in 2022-2023 from
an approximate GBP1 billion in 2021. At the end of December 2021,
the group's forward sales stood at a robust GBP665 million,
compared with GBP560 million a year previously. We factor in that
Castle has moderate exposure to U.K. government incentives such as
the Help to Buy scheme, which accounted for about 15% of Miller
Homes' private reservations in 2021, compared with 36% in 2020. As
a result, we forecast that Castle's EBITDA and cash flows will
increase, supporting a reduction in adjusted debt to EBITDA, pro
forma the transaction, to 3.6x-3.7x in 2023 from about 4.0x in
2022, and EBITDA interest coverage will remain strong at about 4.0x
or above.

"We forecast a gradual recovery in margins to pre-pandemic levels,
but cost inflation and supply chain issues will present
challenges.In our base case, we expect Castle's EBITDA margin to be
about 19% in the next 12 months (Miller Homes' margin stood at
19.2% in 2021), supported by positive price dynamics and solid
demand. We forecast increased volatility in the price of various
building materials due to inflationary pressure or when demand for
materials and logistics capacity exceeds supply. As a mitigant,
Castle generally agrees the price of materials upfront with major
suppliers for the following 12-36 months. The exposure to import
value chain volatility is moderate since Castle procures about 90%
(by value) of materials used through approximately 100 national
supply agreements. In December 2021, Miller Homes bought Walker
Timber, a U.K.-based timber frame manufacturer and supply company
that should provide the majority of Miller Homes' timber kits for
its Scottish division in the next few years. We assume cost
inflation will be one of Castle's largest medium-term risks. That
said, we think the group has the capacity to accommodate some cost
increases without weighing on the ratings. Through its land bank
management, Miller Homes has historically been able to offset the
pressure on margins. Furthermore, although Castle operates in a
very fragmented, competitive, and volatile market, we think it has
some capacity to pass some of its costs on to homebuyers given the
affordability levels in the regional markets.

"We forecast that land investments will largely consume Castle's
operating cash flows, and this will restrict the company's capacity
to reduce debt in 2022-2023.As of December 2021, Miller Homes' land
bank comprised 54,391 land plots throughout the U.K., about 22% of
which Miller Homes owned. The owned land bank covered 3.2 years of
operations, and it almost fully covers Castle's deliveries in 2022.
Under our base case, Castle will continue to replenish its land
bank and this investment will largely absorb its funds from
operations (FFO). As a result, we expect Castle's adjusted debt --
from which we do not net off the cash balance -- will remain
broadly stable in 2022-2023 at about GBP820 million-GBP825 million.
This translates into adjusted debt to EBITDA of about 4.0x in 2022,
declining to about 3.6x-3.7x in 2023 on the back of increasing
EBITDA. Castle's capital structure now comprises GBP815 million of
senior secured bonds, consisting of EUR465 million floating rate
senior secured notes due 2028 and GBP425 million 7% senior secured
notes due 2029, and a GBP180 million super senior revolving credit
facility (RCF) that we expect to remain undrawn.

"Part of the equity contribution from Apollo comes in the form of
priority shares, which we view as equity, so we do not include it
in our adjusted debt calculation.As part of the transaction, Apollo
downstreamed funds to Castle. Castle then used these funds,
together with the proceeds from the notes, to cover the cash
consideration of the acquisition and to refinance all the existing
debt at the Miller Homes level, which includes about GBP404 million
of senior secured notes after Miller Homes repaid GBP51 million of
its outstanding senior secured notes in November 2021. We
understand that about GBP500 million of the funds downstreamed by
Apollo are in the form of priority stock, which we view as equity.
We understand that the priority stock is stapled to common equity
and has no fixed cash-interest payments. As a result, we exclude
these priority shares from our adjusted debt calculation.

"We view Castle as a financial sponsor-owned company, given
Apollo's controlling ownership. We understand Castle will be the
main debt issuer of the restricted Apollo group. Furthermore, we
understand that four of the group's nine directors will represent
Apollo and there will be only one independent director. The
remainder will likely represent Miller Homes' management. We
understand Apollo is committed to a prudent financial policy, with
no current plans to distribute dividends, which should support
Castle's leverage reduction. We also factor in that incurrence
covenants in the notes' documentation prevent Castle from material
debt increases. However, although it is not in our base-case
scenario, we generally note that a financial sponsor-owned company
could adopt a more aggressive financial strategy, weakening its
credit metrics.

"The final rating is in line with the preliminary rating we
assigned on April 25, 2022.

"The stable outlook on Castle reflects our view that the company
will continue to generate solid cash flow from its homebuilding
operations, supported by an EBITDA margin of about 18%-19%. The
outlook also takes into account Castle's prudent working capital
management, including land procurement, which is in line with
market demand. We anticipate that adjusted debt to EBITDA will be
about 4.0x in 2022, improving to below 4.0x in 2023, and that
EBITDA interest coverage will stand above 4.5x in the next 12
months. Our outlook also reflects our expectation that Castle will
sustain a prudent financial policy with no aggressive dividend
distributions.

"We could lower the ratings if Castle's credit metrics were to
weaken, with adjusted debt to EBITDA significantly above 4x without
the potential for short-term improvement, or EBITDA interest
coverage of 3x or less. This could stem from lower demand for
family houses in the company's operating regions, combined with
significant cash outflows or working capital needs, or accelerated
inflation dragging on the margins. We could also lower the ratings
if the company's liquidity were to weaken due to significantly
higher working capital outflows than we expect over the next year,
or if Apollo were to impose an aggressive financial policy, such as
through dividend payments.

"We are unlikely to upgrade Miller Homes. However, a positive
rating action could follow a material improvement in the business'
scale and scope. We could also raise the rating if the company's
ownership changed such that it was no longer constrained by a
financial sponsor shareholding, along with a tighter financial
policy commensurate with a higher rating."

ESG credit indicators: E-3, S-2, G-3

S&P said, "Environmental factors are a moderately negative
consideration in our credit rating analysis of Castle, since
homebuilders and developers have a material environmental impact
across their value chain, primarily associated with the development
and construction of buildings. Governance factors are also a
moderately negative consideration, since we view financial
sponsor-owned companies with aggressive financial risk profiles as
demonstrating corporate decision-making that prioritizes the
interests of the controlling owners. That said, we understand that
Castle plans to pay no dividends to its shareholders in the next
few years. Social factors are an overall neutral consideration in
our credit rating analysis of Castle."


DERBY COUNTY FOOTBALL: Kirchner Exchanges Contracts with Quantuma
-----------------------------------------------------------------
Sam Metcalf at TheBusinessDesk.com reports that US businessman
Chris Kirchner has said he "will be the next owner" of Derby County
Football Club after exchanging contracts with administrators
Quantuma.

Mr. Kirchner, in a series of tweets late on May 16, said he will
begin funding the club next week, but that the deal is conditional
on the sale "and some small bits", TheBusinessDesk.com relates.

If the deal does go through, it will end one of the most protracted
sale processes in English football history, TheBusinessDesk.com
states.  The Rams were placed into administration by former owner
Mel Morris, who still owns the Pride Park Stadium,
TheBusinessDesk.com recounts.

According to TheBusinessDesk.com, in a statement, Quantuma said:
"During the course of the week since our last update, further
significant progress has been made.  As a result of this progress,
the joint administrators can confirm that they have exchanged
contracts for the sale of the business and assets of The Club with
preferred bidder, Chris Kirchner.  Completion is targeted for on or
before 31 May 2022. This is a very significant step towards the
completion of a sale of The Club.

"In addition, the joint administrators can confirm that in the
interim period between exchange and completion, funding for The
Club is being provided by Mr. Kirchner, in a demonstration of his
ongoing commitment to securing the long-term future of The Club.

"The exchanging of contracts is conditional on the sale of the
stadium, EFL approval and receiving secured creditor consent.

"The period of time between exchange and completion will allow the
joint administrators and all relevant stakeholders the time
required to work together to meet the conditions required to
complete this very complex transaction."

Mr. Kirchner was named by Quantuma as preferred bidder at the
beginning of April, TheBusinessDesk.com recounts.  He is the
34-year-old founder of a global logistics chain.

              About Derby County Football Club

Founded in 1884, Derby County Football Club is a professional
association football club based in Derby, Derbyshire, England.  The
club competes in the English Football League Championship (EFL, the
'Championship'), the second tier of English football.  The team
gets its nickname, The Rams, to show tribute to its links with the
First Regiment of Derby Militia, which took a ram as its mascot.
Mel Morris is the owner while Wayne Rooney is the manager of the
club.

On Sept. 22, 2021, the club went into administration.  The EFL
sanctioned a 12-point deduction on the club, putting the team at
the bottom of the Championship.  Andrew Hosking, Carl Jackson and
Andrew Andronikou, managing directors at business advisory firm
Quantuma, had been appointed joint administrators to the club.


GFG ALLIANCE: Taxpayers May Face Losses Due to Controversial Deal
-----------------------------------------------------------------
John Ferguson at Daily Record reports that a metals firm that was
handed a GBP586 million Scottish Government support package to buy
a Highland smelter is facing a court bankruptcy fight.

According to Daily Record, taxpayers could be hit with crippling
losses if businessman Sanjeev Gupta's GFG Alliance goes under as a
result of the controversial deal signed by SNP ministers.

The company, given massive state support to buy metal and power
plants in Lanarkshire and Fort William, is now at the centre of a
fraud investigation and it could be liquidated if it loses a court
battle with creditors, Daily Record discloses.

The Sunday Mail revealed last year that then rural economy
secretary Fergus Ewing could have broken conduct rules by attending
a dinner with Gupta at a top Glasgow restaurant, Daily Record
notes.

He dined with no officials present and failed to have notes taken
-- a strict rule included in the ministerial code when on
government business, Daily Record states.

It came after Mr. Ewing struck a complex financial deal to allow
GFG to buy a smelter in Lochaber, near Fort William, and a
Highlands hydro plant from Rio Tinto in 2016, Daily Record relays.

The size of the financial guarantee given by the Scottish
Government to facilitate the purchase going ahead was originally
about GBP360 million of public money but it later ballooned to
GBP586 million, Daily Record discloses.

Opposition politicians reacted with fury to news of the bankruptcy
proceedings and demanded that First Minister Nicola Sturgeon "comes
clean" over the decision to risk taxpayers' cash on GFG, Daily
Record notes.

According to Daily Record, Labour finance spokesman Daniel Johnson
MSP said: "It is the earnings of hard-working ­taxpayers that are
at risk because of the SNP's agreement with GFG.

"We have seen Fraud Office raids, investigations and now
liquidation proceedings but we are still no clearer what assessment
the SNP Government made before ploughing billions of Scots' cash
into the company.  The SNP need to come clean."

Conservative finance spokesman Jamie Halcro Johnston MSP said: "The
SNP's dealings over the Lochaber smelter have been murky from the
start.

"The SNP have done everything they can to hide the extent of the
guarantees they put up against the smelter and, though this has now
been revealed to be a colossal GBP586 million, there are still huge
questions to be answered over the Government's financial
involvement with GFG ­Alliance.

"With GFG facing liquidation proceedings, it's time for the SNP to
come clean on these dealings, which saw over half a billion pounds
of taxpayer money used for guarantees.

"The Scottish Government must urgently lay out in full what
concerns were raised with Scottish ministers over the deal and what
safeguards have been put in place by ministers to ensure public
money is protected."

GFG was plunged into crisis last year due to the collapse of
Greensill Capital, a finance firm that former prime minister David
Cameron acted for as a lobbyist in a bid to access a UK government
Covid bailout. Greensill's owner Lex Greensill was also at the
Glasgow dinner attended by Mr. Ewing.

The company, Daily Record says, is now fighting against insolvency
for some of its key companies after Credit Suisse withdrew from
debt negotiations.


PALMER SQUARE 2021-2: Fitch Affirms BB+ Rating on Class F Debt
--------------------------------------------------------------
Fitch Ratings has affirmed Palmer Square European Loan Funding
2021-2 DAC's ratings. The Outlooks on the notes are Stable.

This action was taken to correct an error in modelling during the
initial credit analysis. Fitch has updated its analysis based on
the current transaction-specific performance and updated cash flow
modelling.

   DEBT            RATING                  PRIOR
   ----            ------                  -----
Palmer Square European Loan Funding 2021-2 DAC

A XS2397057402    LT AAAsf     Affirmed    AAAsf
B XS2397058475    LT AA+sf     Affirmed    AA+sf
C XS2397058129    LT A+sf      Affirmed    A+sf
D XS2397058632    LT BBB+sf    Affirmed    BBB+sf
E XS2397058988    LT BBB-sf    Affirmed    BBB-sf
F XS2397059283    LT BB+sf     Affirmed    BB+sf

TRANSACTION SUMMARY

Palmer Square European Loan Funding 2021-2 DAC is an arbitrage cash
flow collateralised loan obligation (CLO) that is serviced by
Palmer Square Europe Capital Management LLC. Net proceeds from the
issuance of the notes were used to purchase a static pool of
primarily secured senior loans and bonds, totalling about EUR500
million.

KEY RATING DRIVERS

Model Error Correction: The ratings Fitch assigned in November 2021
were based on incorrect portfolio closing balance for the par value
tests calculation. Fitch has resolved the model error and affirmed
all tranches. The ratings are in line with the model-implied
ratings, except for the class E notes, which show a small shortfall
at 'BBB-sf'. In Fitch's view, the risk profile of the class E notes
is more in line with 'BBB-sf'. The deviation of the class E notes
is attributed to the small shortfall that occurs mainly in the
back-default timing and rising interest rate scenario and expected
increased credit enhancement (CE) as the senior notes pay down.

Stable Asset Performance: The transaction's metrics have remained
relatively stable since closing in November 2021. The transaction
was marginally below par by 0.17%. The transaction passed all
coverage tests. As the transaction is static, it does not have
collateral quality tests or portfolio profile tests. Exposure to
assets with a Fitch-derived rating of 'CCC+' and below was 0.77%.

'B+'/'B' Portfolio: Fitch assesses the average credit quality of
the transaction's underlying obligors in the 'B+'/'B' category. The
WARF as calculated by Fitch was 23.25.

High Recovery Expectations: Senior secured obligations make up
99.60% of the portfolio. 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 as calculated by Fitch is 64.99%.

Diversified Portfolio: The portfolio is well diversified across
various obligors and industries. The largest three industries
comprise 30.26% of the portfolio balance, the top 10 obligors
represent 8.94% of the portfolio balance and no single obligor
represents more than 1.04% of the portfolio.

Portfolio Management: The deal is static and does not have a
reinvestment period, and discretionary sales are not permitted. No
trading occurs except the sale of credit impaired obligations. The
class A notes were paid down by EUR9.1 million on the first payment
date in April 2022.

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 would result in downgrades of up to four notches,
depending on the notes.

Downgrades may occur if the build-up of the notes' 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 would result
in upgrades of up to three notches, depending on the notes.

Except for the tranche already at the highest 'AAAsf' rating,
upgrades may occur in case of 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.

PALMER SQUARE 2022-2: Fitch Assigns 'BB+' Rating on Class E Debt
----------------------------------------------------------------
Fitch has assigned Palmer Square European Loan Funding 2022-2 DAC
final ratings.

   DEBT                 RATING                   PRIOR
   ----                 ------                   -----
Palmer Square European Loan Funding 2022-2 DAC

A XS2459151101        LT AAAsf     New Rating    AAA(EXP)sf
B XS2459151952        LT AAsf      New Rating    AA(EXP)sf
C XS2459152091        LT A+sf      New Rating    A+(EXP)sf
D XS2459152174        LT BBB+sf    New Rating    BBB+(EXP)sf
E XS2459152505        LT BB+sf     New Rating    BB+(EXP)sf
Subordinated Notes    LT NRsf      New Rating    NR(EXP)sf
XS2459152687

TRANSACTION SUMMARY

Palmer Square European Loan Funding 2022-2 DAC (the issuer) is an
arbitrage cash flow collateralised loan obligation (CLO) that is
being serviced by Palmer Square Europe Capital Management LLC
(Palmer Square). Net proceeds from the issuance of the notes are
used to purchase a static pool of primarily secured senior loans
and bonds, with a target par of EUR400 million.

KEY RATING DRIVERS

'B' Portfolio Credit Quality (Neutral): Fitch places the average
credit quality of obligors in the 'B+'/'B' category. The Fitch
weighted average rating factor (WARF) of the current portfolio is
21.77.

High Recovery Expectations (Positive): Senior secured obligations
make up close to 100% of the portfolio. 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 current portfolio is 66.18%.

Diversified Portfolio Composition (Positive): The largest three
industries comprise 36% of the portfolio balance, the top 10
obligors represent just over 10% of the portfolio balance and the
largest obligor represents just over 1% of the portfolio.

Static Portfolio (Positive): The transaction does not have a
reinvestment period and discretionary sales are not permitted.
Fitch's analysis is based on the current portfolio and stressed by
applying a one-notch reduction to all obligors with a Negative
Outlook (floored at 'CCC'), which is 8.5% of the indicative
portfolio. After the adjustment for Negative Outlooks, the WARF of
the portfolio would be 22.34.

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 five 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 two notches,
depending on the notes.

Except for the tranches at the highest 'AAAsf' rating, 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.

ST PETER'S COURT: Future of Accommodation Unclear After Takeover
----------------------------------------------------------------
Patrick Gouldsbrough at The Northern Echo reports that questions
over the future of a section of homeless accommodation for military
veterans in County Durham has been raised after a takeover deal to
save the centre only included part of the sheltered housing --
leaving 16 bedrooms still unaccounted for.

St Peter's Court and Hollyacre Centre on Front Street, Sacriston,
were both placed into administration after owners Single Homeless:
Action Initiative in Durham (SHAID) hit financial difficulties in
February 2022, The Northern Echo relates.

Hollyacre House comprises 13 self-contained one-bedroom flats and
one flat for five people -- which can support veterans for up to
two years at a time, while St Peter's Court has 16-self contained
flat areas.

According to The Northern Echo, at the time of administrators Iain
Nairn and Mike Dillon, of Leonard Curtis Business Solutions Group,
being appointed, Lee Alexander, Durham County Council's head of
adult care, said: "We are aware of the difficult decision that has
been made to close services in County Durham.  We are liaising with
SHAID to identify alternative accommodation and support those
affected."

Now that the takeover has been announced, Hollyacre will run in
line with other Launchpad sheltered accommodation in Newcastle and
Liverpool, while St Peter's Court remains closed.


TAURUS 2019-2 UK: Fitch Hikes Rating on Class E Debt to 'BBsf'
--------------------------------------------------------------
Fitch Ratings has upgraded Taurus 2019-2 UK DAC's class B, C, D and
E notes and affirmed the class A notes.

  Debt                     Rating              Prior
  ----                     ------              -----
Taurus 2019-2 UK DAC

Class A XS2049066371   LT  AAAsf   Affirmed   AAAsf
Class B XS2049075877   LT  AAsf    Upgrade    AA-sf
Class C XS2049076339   LT  Asf     Upgrade    A-sf
Class D XS2049077147   LT  BBBsf   Upgrade    BBB-sf
Class E XS2049081925   LT  BBsf    Upgrade    BB-sf

TRANSACTION SUMMARY

The transaction is the securitisation of 87.5% of a GBP418.1
million commercial real estate loan backed by a portfolio of 126
light industrial/logistics assets located throughout the UK. Seven
assets have been sold since closing (six in the last 12 months),
leaving 119 in the portfolio. The loan has also been paid down
accordingly and now stands at GBP412.5 million.

The portfolio has benefited from increasing occupational demand for
light industrial and logistics assets. The latest valuation, in
November 2021, reported a 16.9% increase in portfolio value to
GBP749.6 million (excluding the 5% portfolio premium), producing a
loan-to-value ratio of 55.0%. We have also given credit in our
analysis to the reported increases in estimated rental value (ERV),
as they are supported by recent leasing activity as well as broader
growth in market rents over the period. Vacancy in the portfolio
has increased slightly during the year, from 10.35% to 11.14%,
driven by a small number of assets with high and rising vacancy
rates.

The upgrades reflect the increases in ERV and rent.

KEY RATING DRIVERS

Growing Demand for Urban Industrial: There has been strong growth
in the e-commerce sector, accelerated by the Covid-19 pandemic.
Consumers increasingly expect next-day or same-day delivery
services, boosting demand for well-located units in urban centres
that can be used for last-mile delivery. Limited availability of
new supply has further increased rents for existing stock.

Pro rata Principal Pay: Proceeds from disposals are applied
pro-rata to the notes. There is a risk that if the higher quality
properties in the portfolio are sold, a subset of weaker properties
could drive the notes' credit quality. However, this is mitigated
because once the allocated loan amount of the disposed properties
as a percentage of the original loan balance exceeds 35%, the
release premium increases to 15% from 10%. Once it exceeds 65%, the
note principal switches to sequential payment. The portfolio is
also relatively homogenous, which limits the scope for adverse
selection. Disposals activity has been higher in the last 12
months, making our disposal analysis more prominent as a result.

Cost Pressures on SMEs and Consumers: Given the rising cost of
living, there is likely to be a squeeze on consumer spending in the
medium term. There is a risk that weaker SME occupiers of light
industrial units, faced with a combination of falling consumer
demand and rising costs, could be pushed into insolvency. In
contrast, the logistics properties in the portfolio are expected to
be relatively insulated, reflecting that the importance of
efficient distribution is unlikely to wane regardless of wider
macroeconomic shocks.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:
Significant deterioration of operating conditions for industrial
occupiers, which stress rent collections, may result in
downgrades.

The change in model output that would apply with 1.25x rental value
declines is as follows:

AAAsf / AA-sf / BBB+sf / BBB-sf / BB-sf

Factors that could, individually or collectively, lead to positive
rating action/upgrade:
Significant increases in rental collections, driven by occupational
demand that is higher Fitch's expectations, may result in
upgrades.

The change in model output that would apply with 0.8x cap rates is
as follows:

AAAsf / AA+sf / AA-sf / A+sf / BBB+sf

KEY PROPERTY ASSUMPTIONS (all by market value)

Fitch ERV: GBP 50.0 million

Depreciation: 2.8%

'BBsf' WA cap rate: 6.7%

'BBsf' WA structural vacancy: 17.3%

'BBsf' WA rental value decline: 11.9%

'BBBsf' WA cap rate: 7.3%

'BBBsf' WA structural vacancy: 19.5%

'BBBsf' WA rental value decline: 15.7%

'Asf' WA cap rate: 7.9%

'Asf' WA structural vacancy: 21.6%

'Asf' WA rental value decline: 19.7%

'AAsf' WA cap rate: 8.6%

'AAsf' WA structural vacancy: 24.2%

'AAsf' WA rental value decline: 23.6%

'AAAsf' WA cap rate: 9.4%

'AAAsf' WA structural vacancy: 27.8%

'AAAsf' WA rental value decline: 27.4%

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.

Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action

Prior to the transaction closing, Fitch reviewed the results of a
third party assessment conducted on the asset portfolio information
and concluded that there were no findings that affected the rating
analysis.

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.

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.


WARWICK FINANCE: S&P Raises Class E-Dfrd Notes Rating to 'B+(sf)'
-----------------------------------------------------------------
S&P Global Ratings raised its credit ratings on Warwick Finance
Residential Mortgages Number Four PLC's class B-Dfrd notes to 'AA+
(sf)' from 'AA (sf)', C-Dfrd notes to 'AA (sf)' from 'A (sf)',
D-Dfrd notes to 'A+ (sf)' from 'BBB+ (sf)', and E-Dfrd to 'B+ (sf)'
from 'B (sf)'. At the same time, S&P affirmed its 'AAA (sf)' rating
on the class A notes.

The rating actions reflect that the transaction has been amortizing
sequentially since closing, resulting in increased credit
enhancement for the outstanding notes. At the same time, credit
coverage at all rating levels has declined since closing.

Since closing, S&P's weighted-average foreclosure frequency (WAFF)
assumptions have decreased at all rating levels. The pool's
weighted-average indexed current loan-to-value (LTV) ratio has
declined by 9.3% over the same period. This has a positive effect
on S&P's WAFF assumptions, as the LTV ratio applied is calculated
with a weighting of 80% of the original LTV ratio and 20% of the
current LTV ratio. At the same time, while loan level arrears have
increased by 0.1% since closing, arrears of greater than 90 days
have increased by 2.1%. However, the effect of the reduction in the
LTV ratio is more significant than the increase in arrears of
greater than 90 days.

This reduction in the weighted-average current LTV ratio has also
led to a reduction in our weighted-average loss severity (WALS)
assumptions.

  Credit Analysis Results

  RATING LEVEL    WAFF (%)   WALS (%)   CREDIT COVERAGE (%)

  AAA             26.03      21.01        5.47

  AA              20.62      13.60        2.80

  A               17.76       5.31        0.94

  BBB             14.98       2.32        0.35

  BB              12.02       2.00        0.24

  B               11.32       2.00        0.23

There are no counterparty constraints on the ratings on the notes
in this transaction. The replacement language in the documentation
is in line with our counterparty criteria.

S&P said, "Our credit and cash flow results indicate that the
available credit enhancement for the class A notes continues to be
commensurate with the assigned ratings. We have therefore affirmed
our 'AAA (sf)' rating on the class A notes.

"The upgrades of the class B-Dfrd, C-Dfrd, D-Dfrd, and E-Dfrd notes
reflect that credit coverage at all rating levels has declined
since closing. As a result, our cash flow analysis indicated that
the class B-Dfrd, C-Dfrd, D-Dfrd, and E-Dfrd notes could withstand
stresses at higher ratings than those previously assigned. We have
therefore raised our ratings on these classes of notes.

"The rating on the class B-Dfrd notes is below the level indicated
by our cash flow analysis. These notes are rated to the payment of
ultimate interest and principal, and we do not believe that a
deferrable note is commensurate with the definition of a 'AAA'
rating."

The ratings on the class C-Dfrd, D-Dfrd, and E-Dfrd notes are also
below the level indicated by our standard cash flow analysis. The
assigned ratings consider the sensitivity to valuation haircuts
given observed loss severities from within the transaction. They
also reflect the results of sensitivities related to an extension
in recovery timing and consider the notes' relative positions in
the capital structure.

S&P said, "We expect U.K. inflation to reach 6.3% in 2022. Although
high inflation is overall credit negative for all borrowers,
inevitably some borrowers will be more negatively affected than
others, and to the extent inflationary pressures materialize more
quickly or more severely than currently expected, risks may emerge.
Of the underlying collateral in this transaction, 22% is buy-to-let
(BTL) and although underlying tenants may be affected by
inflationary pressures, the borrowers in the pool are generally
considered to be professional landlords and will benefit from
diversification of properties and rental streams. For the
owner-occupied loans, borrowers pay a variable rate of interest. As
a result, some borrowers may face near term pressure from both a
cost of living and rate rise perspective. These risks are factored
into our loan characteristic and originator adjustments."



                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Europe is a daily newsletter co-
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Marites O. Claro, Rousel Elaine T. Fernandez, Joy A. Agravante,
Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman,
Editors.

Copyright 2022.  All rights reserved.  ISSN 1529-2754.

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