NEW YORK, May 31 (IFR) - Argentina’s Cablevision SA has mandated Deutsche Bank, Itau and JP Morgan on an up to US$500m international bond sale, according to a local filing.
Moody‘s, which assigned a B3 rating to the new notes on Monday, said the rating is contstrained by Argentina’s changing regulatory environment and the amount of sector competition.
The rating agency also said that the company suffers from mismatches between local currency cash flows and a debt load that is mostly denominated in foreign currency.
“The B3 rating is principally supported by Cablevision’s position as the major player in the local media industry,” it said.
Proceeds are slated to refinance existing debt and for general corporate purposes, Moody’s said. The pay TV and internet service provider is majority owned by media conglomerate Grupo Clarin. (Reporting by Paul Kilby; Editing by Marc Carnegie)