HEDCOR Sibulan, Inc. (HSI) was assigned anew a PRS Aa plus rating by debt watcher Philippine Ratings Services Corp. (Philratings) for its outstanding P4 billion corporate notes.
In a statement issued Tuesday, Philratings said the subsidiary of Aboitiz Power Corp. has a “very strong” capacity to meet its financial obligations. The rating was also given a stable outlook, indicating that the rating is unlikely to change in the next 12 months.
Philratings took into account HSI’s “relatively stable profitability profile” as one of the factors in retaining the rating. HSI’s capacity is fully contracted to Davao Light and Power Company, which is also a unit of AboitizPower and is the third largest privately-owned electric distribution utility in the country.
“The rating also considered the operational history of the company; its customer, asset location, the power situation in Mindanao and its growth prospects,” according to Philratings.
HSI has a capacity of 49.1 megawatts (MW) from three power plants, namely Sibulan Hydro A with a 16.5 MW capacity; Sibulan Hydro B which has a 26 MW capacity; and Tudaya Hydro 1 with 6.6 MW. — Arra B. Francia
