Outlook: Stable
Action date: 09/22/2022
Rating action: New


EthiFinance Ratings assigns a "BB-" with a Stable outlook to Feníe Energía S.A. The company's business focuses on the commercialisation of 100% renewable energy, although it also has two wind farms and other ancillary services related to renewable energies. Feníe Energía S.A has faced a complex financial year 2021, with a constant increase in prices that have been setting historical records as the year progressed and which have continued in 2022. The strong concentration in fixed-price tariff has had an impact on its results, although the company has tried to mitigate this by hedging derivatives and temporarily ceasing to offer the fixed tariff. The company has met its commitments although its indebtedness rose to a NFD/EBITDA ratio of 4.8x. The company has defined a new strategic plan focused on businesses with higher margins and positive prospects such as renewable energy generation. However, this plan requires heavy investments in 2022, a year in which energy prices continue to be volatile and in which the company has a weakened financial structure.


Date last rating: 09/22/2022
Date first rating: 09/22/2022