Fitch reiterates ENGIE Brasil Energia’s AAA rating
For the tenth consecutive year, Fitch Ratings has reiterated ENGIE Brasil Energia’s Long Term National Rating at ‘AAA(bra)’, with a stable outlook. Rating is a mechanism for evaluating the credit worthiness of companies, banks, and countries.
On a global scale, the risk rating agency affirmed the Long-Term IDRs (Issuer Default Ratings) in foreign currency at ‘BB’ and local currency at ‘BBB-‘ (BBB minus), both with a negative outlook due to the limit imposed by sovereign rating, notwithstanding, the company still being one notch higher than Brazil country rating. Fitch has also reaffirmed the ‘AAA (bra)’ rating with stable outlook, assigned to the Company’s unsecured sixth, seventh and nineth debenture issues.
For ENGIE Brasil Energia’s Chief Executive and Investor Relations Officer, Eduardo Sattamini, the classifications obtained reflect the agency’s outlook that the Company will have the capacity to maintain a solid financial profile, even during the crisis arising from the Covid-19 pandemic and a period of higher investment such as has been the case over the past few years in the areas of gas – with the acquisition of TAG –, and with new projects in the area of transmission and generation of renewable energy.
As disclosed in an announcement by Fitch, ENGIE Brasil Energia’s ratings reflect the Company’s important market position as the largest private sector electric energy generator in Brazil with a substantial and diversified portfolio, operational efficiency, and strong cash flow thanks to long-term power purchasing agreements with its clients. The Company’s credit profile also benefits from a financially conservative profile with historically low leverage and strong financial flexibility to meet the financing requirements arising from investments in new projects and acquisitions.
ABOUT ENGIE
ENGIE is a global reference in low-carbon energy and services. With its 97,000 employees, its customers, partners and stakeholders, the Group is committed to accelerate the transition towards a carbon-neutral world, through reduced energy consumption and more environmentally-friendly solutions. Inspired by its purpose (“raison d’être”), ENGIE reconciles economic performance with a positive impact on people and the planet, building on its key businesses (gas, renewable energy, services) to offer competitive solutions to its customers. Turnover in 2022: 82.6 billion Euros.
In Brazil, ENGIE, leader in 100% renewable power generation in the country, operates in generation, commercialization and transmission of electric power, gas transport and energy solutions. The Company
has in the country an installed capacity of 12,5 GW, originated from renewable sources and with low GHG emissions, such as hydro, solar and biomass power plants, and windfarms.
With the acquisition of Transportadora Associada de Gás – TAG, ENGIE now also owns the largest natural gas transportation network in the country, at 4,500 km and transecting 10 states and 191 cities.
The Group has a complete portfolio of integrated solutions focused on reducing costs and improving the infrastructure for companies and cities, such as energy efficiency, public lighting, energy monitoring and management.
With 2,800 employees, ENGIE’s turnover in Brazil in 2023 was of R$ 11.7 billion. ENGIE trades on the B3 through its energy generation and trading company, ENGIE Brasil Energia, under the ticker EGIE3. In addition to being a B3 Novo Mercado component, the Company is one of the very few companies that have been listed in the Business Sustainability Index since its creation in 2005. In 2021, ENGIE Brasil Energia was included in the Carbon-Efficient Index (ICO2), made up of IBrX 100 companies that are most transparent in terms of GHG emissions reporting and how they are preparing for a low-carbon economy.
The company also received in May 2024 the certification Great Place to Work, a recognition which validates the continuous commitment of the company to create a positive and inclusive work environment for all.
The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, Euronext 100, FTSE Euro 100, MSCI Europe) and non-financial indices (DJSI World, Euronext Vigeo Eiris – Europe 120/France 20, MSCI EMU ESG screened, MSCI EUROPE ESG Universal Select, Stoxx Europe 600 ESG-X).