Fitch may downgrade the EDC after the offer to purchase the company

Fitch may downgrade the EDC after the offer to purchase the company


In the release, the international rating Agency Fitch notes that the decision follows the announcement of the EDC that the company has received a proposal regarding a possible merger.

MOSCOW, 9 Oct. International rating Agency Fitch placed the list on review for possible downgrade the long-term Issuer default ratings (IDRs) of Russian oilfield services company Eurasia Drilling Company (EDC) in foreign and national currencies at “BB”, according to a press release of rating Agency.

“The decision follows the announcement of the EDC that the company has received a proposal regarding a possible merger (between shareholders and managers — ed.) with the intention to make a private EDC,” according to the release.

Main shareholders and managers of Russian EDC on Thursday offered to buy the company at $ 10 per share and make it private.