Ithaca credit ratings upgraded after Eni UK combination

Ithaca Energy announced on Thursday that, following the completion of its business combination with Eni’s UK upstream oil and gas assets on 3 October, its credit ratings had been upgraded by multiple agencies.

The FTSE 250 company said Fitch Ratings raised its credit rating to BB- from B, while also assigning a BB-/RR4 rating to its proposed 2029 senior notes, an improvement from B+/RR3.

S&P Global Ratings meanwhile initiated coverage with a BB- rating for Ithaca and the 2029 senior notes, while Moody's upgraded the company’s corporate rating to Ba3 from B1, with the senior notes rising to B1 from B3.

All ratings carried a stable outlook.

“In line with previous expectations shared by the group, we were delighted to receive ratings upgrades yesterday following the successful conclusion of our business combination with Eni UK,” said chief financial officer Iain Lewis.

At 1243 BST, shares in Ithaca Energy were down 1.14% at 104.2p.

Reporting by Josh White for Sharecast.com.