Worse, there’s a mismatch between its largely dollar- and euro-denominated borrowings and revenues from a big business in Latin America. ADADBut such a wish-driven strategy runs up against the problem that you can’t make a company with an enterprise value of 96 billion euros ($105 billion) — including $57 billion of net debt — something different just by thinking it so. Even asset sales at bad prices would reduce the currency mismatch problem regardless of whether they dented leverage. A further trim would have shown stronger commitment to paying down debt and it’s the only deleveraging mechanism the company controls. But the Spanish company says the U.K. is a core market; it might prefer to be a buyer of Virgin.

Source: Washington Post November 28, 2019 13:41 UTC