Ratings agency Fitch has downgraded troubled oilfield services giant Petrofac after it defaulted on an interest payment.

Fitch lowered Petrofac’s long-term issuer default rating to “restricted default” (RD) from C.

An RD rating is for bond issuers that have “experienced an uncured payment default but has not entered into bankruptcy filings or ceased operating”.

The action came as Petrofac blew through a 30-day grace period on a coupon that was supposed to be paid 15 May on $600million loan notes due in 2026.

In April the company was forced to temporarily suspend trading in its shares due to a delay in the delivery of it full year report for 2023.

The firm also revealed it was in talk with lenders on an ongoing restructuring plan that would see it swap debt for equity.

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