Fitch Ratings Indonesia has affirmed PT Bali Towerindo Sentra Tbk's (BALI) National Long-Term Rating at 'A-(idn)'. The outlook is stable.
The rating affirmation reflects our expectation that the company will continue to maintain profitability and credit metrics commensurate with its rating over the medium term. This is despite the potential for slower tower business growth due to the recent merger of PT Indosat Tbk (BBB-/AA(idn)/Stable) and PT Hutchison 3 Indonesia (Hutch). However, we expect this to be partially offset by growth in the fiber-to-the-home (FTTX) business. We also expect that there will be some leverage headroom as Bali Tower aims to diversify its business.
A national rating of 'A' indicates an expected low level of default risk relative to other issuers or bonds in the same country or monetary union.