Corporate Credit Rating for GLOBAL POWER S.P.A.: B1-(Affirm)

modefinance published the Solicited Corporate Credit Rating of GLOBAL POWER S.P.A. on the CRA website and the rating assigned to the entity is B1- (affirm). The analysis revealed it is an adequate company, with average capability of repaying financial obligations and little affected by the adverse economic scenario.

The Company GLOBAL POWER S.P.A. was founded in 2004 and operates in the energy sector, as a supplier of electricity and gas, for important Italian companies and public entities

The Company confirms a “sufficient” economic-financial situation despite the well-known economic difficulties of the sector (mainly due to the increase in the cost of raw materials) and macroeconomic difficulties (due to inflation and instability resulting from the Russian-Ukrainian conflict). 

These factors have led to a general increase in credit and debt positions and, at the same time, there has been an increase in costs.Moreover, it has been pointed out a physiological decrease in cash and cash equivalents due to the massive absorption of resources by working capital, which was negatively affected by procurement costs. Treasury management undergoes strong variations over the weeks, but the company has equipped itself with useful control tools to monitor short-term liquidity. 

The Company responds to the strategic need to grow in the consumer and small business market through a special purpose company (sale of energy and gas contracts and energy efficiency solutions such as photovoltaic or electric micro-mobility), enhancing, at the same time, the contribution that growth in this market can bring to the parent company Global Power.

The present Corporate Credit rating is issued by modefinance under EU Regulation N. 1060/2009 and following amendments.

The present rating is solicited, and based on both private and public information. The rated entity and/or related third parties have provided all private information used. modefinance had access to some accounts and other relevant internal documents of the rated entity and/or related third parties. Solicited and unsolicited ratings issued by modefinance are of comparable quality, as the solicitation status has no effect on methodologies used. More comprehensive information on modefinance Corporate Credit Ratings are available here.

The present Corporate Credit Rating is issued on MORE Methodology 2.0 and Rating Methodology 1.0. A comprehensive description of both methodologies, as well as information on modefinance Rating Scale and Mappings, is available here. For information on historical default rates of modefinance Corporate Credit Ratings please refer to ESMA Central Repository and ESMA European Rating Platform.

modefinance refers to default as a company under bankruptcy, or under liquidation status, or under administration or for which missed payments on a financial obligation are officially recorded.

The quality of the information available on the rated entity and used to determine the present rating was judged by modefinance as satisfactory. Please note that modefinance does not perform any audit activity and is not in a position to guarantee the accuracy of any information used and/or reported in the present document. As such, modefinance can accept no liability whatsoever for actions taken based on any information that may subsequently prove to be incorrect.

The present credit rating was notified to the rated entity in order to identify potential factual errors, as prescribed by the CRA Regulation. No amendments were applied after the notification process.

The rated entity is not a buyer of ancillary services provided by modefinance (credit risk software). The rating action issued by modefinance was performed independently. The analysts, members of the rating team involved in the process, modefinance Srl and its members and shareholders do not have any conflicts of interest in relation to the Rated Entity and/or Related Third Parties. If in the future a potential conflict of interest is identified in relation to the persons reported above, modefinance Ratings will provide the appropriate information and if necessary the rating will be withdrawn.

The present Credit Rating is an opinion of the general creditworthiness that modefinance issues on the rated entity, and should be relied upon to a limited degree. The issued rating is subject to an ongoing monitoring until withdrawal.

Head Analyst –Fabio Politelli (Rating Analyst)
fabio.politelli@modefinance.com

Assistant Analyst – Stefania Latin (Rating Analyst)
stefania.latin@modefinance.com

Responsible for Rating Approval – Pinar Dilek (Rating Process Manager)
pinar.dilek@modefinance.com