| Tata Motors bond issue gets stable S&P outlook |
| BS Reporter / New Delhi July 13, 2007 |
| Global rating agency Standard and Poor's (S&P) has assigned a stable outlook to Tata Motors' proposed $490 million convertible bond issue. The auto major plans to use the proceeds of the issue to part-fund its capital expenditure plans, overseas investments and acquisitions. The BB+ rating factors in the company's moderate approach to the Rs 11,400 crore capital expenditure plans over the next four years, S&P said in a statement. Although some weakening in Tata Motors' profitability is expected, the company's financial profile is expected to remain consistent due to cash flow protection measures. S&P said despite expected lower volume growth and operating profitability, the company |
