Fitch Upgrades Termocandelaria

Fitch has upgraded Colombia-based power generator Termocandelaria’s ratings to BB from BB minus to reflect the company’s improving credit metrics resulting from stable cash flow generation and modest reductions in debt and financial leverage. The outlook is stable. “Termocandelaria Ebitda generation is expected to moderate and reflect the stability of the company’s capacity payments,” says Fitch. In the 12 months to June 30, the company reports an Ebitda generation of about $41.3m and total debt of $76.5m, which translates into modest leverage of 1.9x.