Sat, 27 September
20.1 C
Yerevan
USD: 382.71 RUB: 4.59 EUR: 446.43 GEL: 141.38 GBP: 510.80

Moody’s assigns a b2 corporate family rating to Zngezur Copper Molybdenum Combine CJSC

YEREVAN, September 23. /ARKA/. Moody’s Investors Service (“Moody’s”) has assigned a corporate family rating (CFR) of B2, probability of default rating (PDR) of B2-PD to Zangezur Copper Molybdenum Combine CJSC (ZCMC), one of the largest exploration and mining companies in Armenia. The outlook is stable.

ZCMC has a concentrated ownership structure with Cronimet Group holding 75% in the company, while its board of directors lacks independent members. ZCMC has substantial related party transactions, which include molybdenum processing under tolling scheme and molybdenum sales, which are conducted with the companies under common control on an arm’s length basis. The risk of concentrated ownership is somewhat mitigated by the track record of conservative financial policy and operational improvements since 2015-17.

The stable outlook reflects Moody’s expectation that the company will be able to maintain its solid credit metrics notwithstanding copper price volatility, improve its liquidity in the short-term and demonstrate an adequate liquidity on a sustainable basis.

Moody’s could downgrade the ratings if the company’s leverage, as measured by Moody’s adjusted debt/EBITDA, deteriorates to above 3.5x on a sustained basis; weak liquidity is not timely addressed; or operating metrics (production, metal content, recovery) materially weaken.

Zangezur Copper Molybdenum Combine CJSC (ZCMC) is one of the largest exploration and mining companies in Armenia. The company principally produces copper concentrate and molybdenum from its single open-pit mine. In 2018, the company generated revenue of $414 million and Moody’s-adjusted EBITDA of $96 million. ZCMC is privately owned by Cronimet Group (75%), the company’s management (12.5%) and a private investor Jean Buffet (12.5%). -0-

spot_img

POPULAR

“We want the word ‘investor’ in Armenia to mean normality, not elitism” – Freedom Broker Armenia

ARKA news agency spoke with Freedom Broker Armenia Director Ovak Ovakimian about the transformation of investment thinking, company strategy and trust as an economic value.

Ranking of the most profitable banks in Armenia based on results of second quarter of 2025

ARKA news agency publishes the ranking of the most profitable commercial banks in Armenia based on the results of the second quarter of 2025.

Ranking of Armenia’s most profitable banks in 2024

ARKA news agency has released a ranking of the most profitable commercial banks in Armenia in 2024.

The UAE instead of Europe : why Armenia needs to change its approach to crypto regulation – EXCLUSIVE

The Armenian Forum on Cryptocurrency Assets, organized by the Cilicia Business Club, was recently conducted in Yerevan.

Ranking of most profitable banks in Armenia based on results of first quarter of 2025

ARKA news agency publishes the ranking of the most profitable commercial banks in Armenia based on the results of the first quarter of 2025.

LATEST NEWS

spot_imgspot_imgspot_img