Boparan - comment

Moody’s decision to change Boparan’s Caa1 rating to Positive opens the possibility of the company being CDO eligible again in the medium term, useful for when the November 25 SSNs need refinancing. The short-term impact will be pretty small. S&P also affirmed its B- rating and moved the rating to Stable. The rating agency moves reflect the improving relationship with the supermarkets and more effective ratchets in the key poultry business. S&P predicts adjusted EBITDA in the current fiscal year at GBP110-GBP115, our model says GBP106m.