The downgrade comes after LMIRT announced, on Dec 27, 2023, that the tender offer for its senior unsecured notes due in 2024 and 2026 would proceed.
According to LMIRT, Fitch sees that such a tender offer “constitutes a distressed debt exchange, as the transaction will lead to a material reduction in original terms of the notes and is being conducted to avoid a traditional default”.
Units in LMIRT closed at 1.7 cents on Dec 29, 2023.
