Cell Rating

Oct 09, 2012 (LBO) - Fitch Ratings has confirmed an 'AAA(lka)' rating with a stable outlook citing support from its Malaysia-based parent and said its stand alone credit profile had improved to 'AA 'AA+(lka)' from 'AA(lka)'. "Dialog's standalone credit profile is strong, and has improved between 2010 and 2012, helped by a benign competitive environment and improving usage across most service segments," Fitch said.

"The agency expects Dialog's standalone profile to continue to improve over the medium term, driven by the company's ability to fund its capex from strong operating cash flows."

Fitch said Dialog foreign and local currency cashflows were strong enough to cover upcoming repayments.

The full statement is reproduced below:-

Fitch Affirms Dialog Axiata at 'AAA(lka)'/Stable

Fitch Ratings-Singapore/Colombo-08 October 2012: Fitch Ratings has affirmed Sri Lanka-based telecom operator Dialog Axiata PLC's (Dialog) National Long-Term rating at 'AAA(lka)' with a Stable Outlook.

The rating factors in support from its 83%-parent Axiata Group Berhad (Axiata), underpinned by the latter's board control, brand-sharing, and the strategic and some operational integration between the two co