Eramet : Excellent 2017 results, upgrading our shadow rating. New strategic plan.

Publication date 26/03/2018 16:10 - Writing date 26/03/2018 16:08 - - - - - Equity data - - - Equity Analyst : - - - ESG Analyst : Valentin Pernet - Corporate governance: High risk (4) - / - / - 19 April 2018: Q1 2018 sales - 24 July 2018: interim earnings - - - - - - - - - - - - - - - - - - - - Eramet produced a strong set of 2017 figures, helped by the sharp rise in manganese ore and manganese alloys prices which boosted EBITDA in this division. The impact on credit metrics was also positive. - In our last Special Comment of 4 August 2017, we said we might consider raising our 'B+' shadow rating to 'BB' if Eramet's operating results continued to recover in the second half of the year. And they did. - We therefore estimate the rating at 'BB' to which we assign a stable outlook. - We reiterate our Buy & Hold recommendation on the 2020 notes and are also buyers of the 2024 paper. - - - >