“The CreditWatch placement reflects… material debt and exposure to additional risks not currently factored into the ratings.”
A day after UBS downgraded its rating for wireless telephony operator Partner Communications (Nasdaq: PTNR), Standard & Poor's has announced that it is placing the company’s ratings on CreditWatch. The move follows the deal whereby Partner is due to buy 40% of cable television company Matav Cable Systems for $137. The deal is conditional on Matav merging with another Israeli cable televiiosn provider, Tevel. “Globes” reported yesterday that Tevel shareholder Aver Zussman was attempting to mount a rival bid for the company.
Standard & Poor's analyst Simon Redmond wrote, “The CreditWatch placement reflects the company's subsequent assumption of material debt and exposure to additional business and financial risks that are not currently factored into the ratings."
Maalot The Israel Ratings Company decided yesterday to put Partner onto a review list.
Published by Globes [online] - www.globes.co.il - on March 18, 2004