Standard & Poor’s improves rating of Romanian telecom operator RCS&RDS owner

Rating agency Standard & Poor’s improved on Wednesday the rating of Digi Communications N.V, the parent-company of the local telecom operator RCS&RDS, from B+ to BB- with a stable outlook due to its solid operational performance. “Digi Communications N.V. has reported strong revenue growth and market share growth in the recent quarters particularly on the mobile phone segment in Romania, where we believe the operator could get to a size large enough in 2018 to reach a positive cash flow,” according to the S&P announcement. On Wednesday evening, Digi Communications launched the prospect for its Bucharest Stock Exchange listing, with a mammoth initial public offering (IPO) that could exceed RON 1 billion (EUR 200 million). The company will sell about 21.74 million shares and has set a variation corridor of RON 38-56 (EUR 8.3-12.3) per share. This could raise the value of the IPO to EUR 182-268 million. Romanian telecom group Digi launches biggest private IPO in Bucharest Stock Exchange history editor@romania-insider.com