Moody’s Raises Hypermarcas

Moody’s has upgraded Hypermarcas to Ba2 from Ba3, it says, due to improved credit metrics. The consumer products company’s focus on core business assets, organic growth and deleveraging are the key drivers. The agency notes that Hypermarcas was able to reduce its adjusted gross leverage ratio to 4.3x in December 2012 from 6.8x in the previous fiscal year. It expects additional improvements in leverage ratios, supported by both debt reduction and a stronger Ebitda stream. The ratings outlook is stable.