It is a historic milestone for ENSA that, as a regulated company, for the first time it is granted this local qualification at its highest level.
The electrical distribution company ENSA strengthens its positioning within the Panamanian energy sector by obtaining from Moody’s Local Panama, the AAA.pa rating for an issuer in long-term local currency with a stable outlook, the highest position on the national scale.
“It is a historic milestone for ENSA that, as a regulated company, for the first time we are granted this local qualification at its highest level. And it is not only a recognition of our management, but the key that allows us to access capital in better conditions, ensuring the sustainability of the investments that the Panamanian electrical system demands for the coming years.”said Arie Cartagena, vice president of Finance at ENSA.
Moody’s recognition is based on ENSA’s robust business and financial profile, backed by the exclusive right to operate the distribution network in its concession area, which provides it with a solid market position.
For users, this rating represents a guarantee of continuity and reliability of the service. “This achievement supports our ability to continue investing to offer a safe and continuous service,” added Cartagena.
Moody’s Local Panama based its evaluation on the company’s management style, highlighting the history of its intrinsic financial strength. Likewise, it considers ENSA’s structural exposure to regulatory decisions and changes in public policy and the country’s energy strategy.
The rating agency also highlights the stability and predictability of the company’s income, in a rate setting environment defined by an established regulatory framework, which contributes to consistent cash flow generation.
Efficient debt and soundness management
The rating benefits from the essential nature of the electric service for the local economy, the high demand, the low business risk and the high barriers to entry in its area of operation.
Moody’s Local Panama considers that debt management is adequate, supported by stable cash flows, available credit lines and access to the credit market.
Historic commitment to Panama
In the last 15 years, ENSA has carried out an investment plan aimed at modernizing and improving the electrical network that exceeds USD$1,160 million, of which USD$909 Million have been executed since Grupo EPM is a partner of the Government of Panama in the management of this concession. Likewise, since 1999, ENSA has been a pillar for national development, contributing more than USD$321 million in dividends to the Panamanian State.
This milestone reaffirms the financial solidity of the main energy distributor in the northeast of the country and its ability to meet its short and long-term commitments.
ABOUT ENSA
ENSA is a subsidiary of Grupo EPM, made up of more than 700 direct collaborators dedicated to the distribution and marketing of electrical energy for more than 567 thousand clients in Eastern Panama, Colón, Darién, the Guna Yala Region and the Pacific Islands. Its concession area represents 42% of the country’s electricity customers, with coverage that reaches 1.1 million people in a territory of 3,272.36 thousand square kilometers and an infrastructure of 13,605.49 kilometers of distribution lines.
