New Delhi: State-run Oil and Natural Gas Corporation Ltd (ONGC) and its subsidiary ONGC Videsh have witnessed a ratings downgrade with a negative outlook, courtesy a similar Indian sovereign rating.
Fitch Ratings has assigned ‘BBB-‘ rating on ONGC’s Long-Term Foreign-Currency Issuer Default Rating (IDR) and US dollar senior unsecured notes and on the foreign-currency guaranteed notes issued by ONGC Videsh, ONGC Videsh Vankorneft Pte Ltd, along with the medium-term note programme co-issued by the three entities.
“ONGC’s ratings are constrained by the ratings of the state of India (BBB-/Negative), its majority owner, according to Fitch’s Government-Related Entities Rating Criteria, and the Negative Outlook reflects that of the Indian sovereign,” Fitch said in a statement.
