Tuesday 21 November 2017 by FIIG Research Company updates

Company updates – AAPT, Mackay Sugar, PMP, zipMoney, updated Factsheets

This week, AAPT assigned an investment grade rating, Mackay Sugar appoints new Chairman, PMP issued an earnings downgrade, zipMoney joined by Kogan and a list of updated Factsheets including FY17 results

Fitch assigns AAPT an investment grade rating; outlook stable

Fitch Ratings has assigned Adani Abbot Point Terminal Pty Ltd (AAPT) a investment grade rating for its senior secured notes and the upcoming 144A/Regulation S bonds. Both outlooks are stable. The ratings take into account the stable cash flows from the medium to long term ‘take or pay’ contracts with the port’s users. The port’s reliance on coal limits the rating, despite an approximately 60%/40% split between metallurgical and thermal coal.

Wholesale investors can access the credit ratings by clicking here or calling their relationship manager.  

Mackay Sugar appoints new Chairman

MSL has given a brief update post the AGM regarding new Board appointments. There is no news regarding the company’s recapitalisation. As part of the AGM, MSL’s Chairman stepped down, and has been replaced by Director Mark Day. Mark was appointed a non-grower director for MSL in May 2017. Mark has extensive experience and appears well qualified for the post. He has previously served as a Director on the Board of Sugar Terminal Ltd, the Bureau of Sugar Experiment Stations, Sugar Research Institute and Director/Chairman of the Australian Sugar Milling Council.

Mark recently completed three and a half years in Brazil as Operations Director for Bunge Brazil (one of Brazil’s largest cane processors) crushing 20m tonnes of cane producing 1m tonnes of sugar, 1bn litres of ethanol and 500GWh of electricity. Prior to that Mark had an extensive career with CSR/Wilmar in sugar, managing CSR’s Cane sugar businesses as Executive General Manager for six years and two years in Indonesia with Wilmar.

Updates from MSL can be found on its website.


PMP issues earning downgrade but credit profile remains solid 

On Monday 21 November 2017, PMP issued an earnings downgrade for FY18 and FY19. The company stated that as the integration of PMP and IPMG progressed, it become clear that the previous guidance will not be met. The downgrade predominantly reflects a higher cost base than the synergy plan envisaged as PMP has had to accommodate larger than expected volumes of short format work and lower than assumed sell prices.

The link to the full update is available here

Zip platform joined by Kogan.com

On 16 November 2017, zipMoney announced that ASX listed Kogan.com (ASX: KGN), Australia’s largest pure play online retail website, joined the Zip platform. More than one million active Kogan.com customers will have access to the zipPay digital wallet at checkout, allowing shoppers a limit of up to AUD1,000 and the ability to pay flexibly, over time for their purchases, interest free. Zip cofounder and CEO, Larry Diamond said, “This is a very significant transaction for the Zip business. Kogan.com is synonymous with e-commerce in Australia and this partnership represents an important validation for Zip as we continue our mission to offer fair and transparent payment options to the Australian consumer, wherever and whenever they choose to shop.”

On the same day, zipMoney released the following statement.

Updated Factsheets

Factsheets that have been updated with FY17 results: