"In a highly uncertain environment, Redbridge’s support has helped to improve credit rating agencies’ perception of our credit risk and was key in obtaining our State-guaranteed loan before the summer."
Assignment overview
- Helping the Group meet challenges related to the evaluation of its credit profile
- Providing support in the arrangement of a €50m French State-guaranteed loan (PGE)
Objectives
- Identification of possible sticking points and communication levers in order to help the Atalian Group optimize its credit risk profile
- Definition of dedicated short- and medium-term communication strategies for each rating agency in order to improve the Group’s rating
- Establishment of a SGL within eight weeks in order to strengthen short-term liquidity against the backdrop of the COVID-19 crisis
Results
- Proactive management of communication and relationships with agencies in close collaboration with the new management team
- Monitoring of credit KPIs and comparative sector analysis
- Perceptible change in the understanding of our business and the perception of our credit risk
- €50m SGL with three historical banks (BNPP, CADIF and CIC) communicated to the market upon publication of Q2 results
Methodology
- Quarterly analysis of the Group’s results and support with the messages and wording to be used in the Group’s official publications
- Adaptation of the approach to dealing with rating agencies to the new context (enhanced monitoring, systematic sector-based approach)
- Consultation with historical banks and continuation of bilateral negotiations until board agreements are obtained
- Support in obtaining the ministerial ruling, up to the disbursement of funding
Redbridge’s added value
- Expertise in the world of credit and in rating agencies’ approaches and evaluation models
- Neutral and independent approach ensuring total objectivity in analyses and recommendations
- Strong knowledge of state support mechanisms implemented in response to the COVID-19 crisis
- Collaborative project management with the Group Finance Department and all stakeholders: Treasury Finance Department, Banking, Legal Advice and Bpifrance/French Treasury