Grifols - comment

Grifols rating was upgraded to B+ from B, resulting from the private placement of €1.3bn bonds at 7.125% on a senior secured basis.  The bond was raised yesterday to refinance upcoming maturities and repay the RCF.  Grifols has extended its RCF to May 2027 in conjunction with the bond.   This deal removes any near-term liquidity concerns with no funded maturities until November 2027.  

Grifols confirmed its guidance for FY24, “remaining on course to deliver a record financial performance in 2024, significantly improving on our prior record in 2023”.  We continue to monitor the name but are unlikely to invest at current levels.