Fitch upgrades Ambipar’s rating outlook from stable to positive

São Paulo, September 26, 2024 – Ambipar (B3: AMBP3; NYSE: AMBI), a global leader in environmental solutions, had its rating outlook upgraded from stable to positive by the credit rating agency Fitch. The decision includes the subsidiaries Ambipar Response, focused on crisis management and responses to environmental emergencies, and Ambipar Environment, focused on environmental management and complete waste management.

Fitch also maintained the long-term default ratings (IDRs) in foreign and local currency at ‘BB-‘, with a positive outlook. In addition to the IDRs, the agency maintained the rating of the senior unsecured green notes at ‘BB-‘ and the National Long-Term Rating (NLTR) of Ambipar and its subsidiaries at AA-.

In a statement, the agency indicated that the positive outlook reflects expectations that Ambipar will succeed in its deleveraging strategy, supported by a focus on organic growth and initiatives to reduce debt and improve operational efficiency.

“The company also benefits from its positive track record of contract renewals. The ratings of the three companies are aligned and reflect the consolidated credit profile of the group,” said Fitch.

The credit rating agency emphasized that the ratings reflect the favorable shift in financial strategy, the strong business model, geographical diversification, moderate profitability, and the increase in EBITDA, according to Ambipar’s guidance, aiming for R$ 1.7 billion in 2024 and R$ 1.8 billion in 2025, compared to the total of R$ 1.3 billion reported at the end of last year.

According to Fitch, Ambipar’s new strategy to reduce capital intensity, the improvement in cash flow cycles to reduce working capital demand, and the focus on organic growth will allow the company to gradually achieve its deleveraging goal. Fitch expects Ambipar to reduce its debt by around R$ 1 billion by the end of 2024.

“This Fitch decision shows that the company’s financial health is heading in the right direction to consolidate the business’s strength and good long-term prospects,” evaluated Ambipar’s CFO, João Arruda.

About Ambipar

• Ambipar is a Brazilian multinational and a global leader in environmental solutions, investing in and operating projects in decarbonization, circular economy, energy transition, and environmental regeneration, present in 40 countries with over 20,000 employees. The company’s shares are listed on B3 (AMBP3) and the New York Stock Exchange (AMBI). To learn more, click here.

Press Contact

GBR Comunicação [email protected]