Petrobras Investment Plans at Risk From S&P Downgrade
- S&P likely to downgrade Petrobras after Brazil cut: BTG
- Petrobras fell most since Sept. 1 in Sao Paulo trading
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Petroleo Brasileiro SA’s investment plans will be at risk if Standard & Poor’s downgrades the state-controlled producer to junk as it did with Brazil’s sovereign rating, said analysts at HSBC Holdings Plc and BTG Pactual.
“The company may face challenges to fund its Capex plan, due to the amount of debt to be raised over the next years,” HSBC analysts Luiz Carvalho and Filipe Gouveia said Thursday in a report to clients.