Takefuji has entered talks with bond insurance group Ambac after S&P downgraded its credit rating to junk, triggering possible early redemption of Y109bn worth of the Japanese consumer finance group’s asset-backed securities. S&P downgraded Takefuji’s credit rating to BB+ from BBB-, citing concerns about its financing capability, possibly forcing Takefuji to redeem its Y109bn in ABSs earlier than scheduled – unless it can agree easier terms with Ambac, which has guaranteed Takefuji’s ABSs.

This entry was posted by Gwen Robinson on Wednesday, June 17th, 2009 at 5:27 and is filed under Capital markets. Tagged with Ambac, s&p, Takefuji. Edit this entry.