Fitch Upgrades Aydem Energy's Outlook to "Positive"

Fitch Ratings has revised Aydem Renewable Energy's (Aydem) outlook from Stable to Positive, while affirming its Long-Term Issuer Default Rating (IDR) at 'B'.

Fitch stated, "The revision of the outlook reflects our expectations for stronger credit metrics due to moderate capital spending, stable working capital, and management's focus on debt reduction with the start of bond amortization in 2025."

Fitch also highlighted that the rating trend will depend on Aydem's investment decision regarding its large battery storage project, which is currently under assessment, as well as the project's impact on leverage and the company's ability to mitigate increasing commercial price and foreign exchange (FX) risk associated with the gradual expiration of its feed-in tariff (FiT) guarantees.