BORA S.P.A. Corporate Credit Rating (First Issuance)

Press release 17 December 2020

Corporate Credit Rating (Solicited) for BORA SPA: B1- (First Issuance)

modefinance published the Solicited Corporate Credit Rating of BORA S.P.A. on its CRA website, and the rating assigned to the entity is B1- (First Issuance). The analysis revealed it is an adequate company with average capability of repaying financial obligations and little affected by adverse economic scenarios.

BORA S.P.A. is a company based in Maiolati Spontini (Ancona), which has been active for over forty years in design, manufacturing, maintenance and molding services for metal components. In the early years of its activity, the Company’s main market was household appliances, while in recent years the automotive sector has become increasingly strategic.

Key Rating Assumption

The Company BORA S.P.A. shows a balanced economic and financial situation, although characterized by an important recourse to external capital. Assets-liabilities management appears adequate and improving overall, just as profitability recorded an overall growth. The cash flows analysis shows an overall balance, despite the large resources allocated to investments. The ensuing recourse to financial debts did not, however, affected the liquidity levels, which continue to be adequate.

The analysis of the Central Credit Register of the Bank of Italy reveals that the Company can optimally manage its credit lines, having not highlighted situations related to disputes or serious anomalies.

In terms of Governance, over the last year the Company’s administrative body has assumed a collegial form which includes two shareholders. The Company also has a control body and submits its financial statements to a specialized auditing company. As of September 2020, the Company has changed its legal form in a joint stock company, thus expanding its shareholder structure. The Company is particularly well-positioned in terms of size, being one of the largest companies in terms of turnover of the entire analysis sample.

On the solvency’s side, the Company shows a weak positioning, being one of the least capitalized companies among those examined, while as regards profitability, the Company proves to be particularly profitable even if compared with the analysis sample. The peer group shows a slight reduction in leverage values, while the financial leverage remained stable over the period examined. However, the values of both indicators remain largely appropriate. The peer group also shows a constant trend in the current ratio, whose value appears adequate, while the quick ratio recorded a contraction during the last financial year considered, thus highlighting an major impact of stocks on short period’s assets.

The Company works closely with two sectors with divergent trends: the automotive crisis is counterbalances by the constant growth recorded by the household appliances sector. In light of this, today it is difficult to understand how this will affect the Company's turnover, net of the physiological reduction in revenues that it could record in 2020. The ongoing health emergency will inevitably impact on the European economy, reducing businesses’ investment propensity and customers’ consumption, the latter due to the simultaneous increase in the unemployment rate. Furthermore, the spending made by national governments to address the epidemic, together with the decrease in tax revenues, will increase difficulties in terms of fiscal sustainability.

Sensitivity Analysis

In the following table, the addressing factors, actions or events that could lead to an upgrade or a downgrade are summarized:


The present Corporate Credit rating is issued by modefinance under EU Regulation N. 1060/2009 and following amendments.

The present rating is solicited, and based on both private and public information. The rated entity and/or related third parties have provided all private information used. modefinance had access to some accounts and other relevant internal documents of the rated entity and/or related third parties. Solicited and unsolicited ratings issued by modefinance are of comparable quality, as the solicitation status has no effect on methodologies used. More comprehensive information on modefinance Corporate Credit Ratings are available here.

The present Corporate Credit Rating is issued on MORE Methodology 2.0 and Rating Methodology 1.0. A comprehensive description of both methodologies, as well as information on modefinance Rating Scale and Mappings, is available here. For information on historical default rates of modefinance Corporate Credit Ratings please refer to ESMA Central Repository and ESMA European Rating Platform.

modefinance refers to default as a company under bankruptcy, or under liquidation status, or under administration or for which missed payments on a financial obligation are officially recorded.

The quality of the information available on the rated entity and used to determine the present rating was judged by modefinance as satisfactory. Please note that modefinance does not perform any audit activity and is not in a position to guarantee the accuracy of any information used and/or reported in the present document. As such, modefinance can accept no liability whatsoever for actions taken based on any information that may subsequently prove to be incorrect. The present credit rating was notified to the rated entity in order to identify potential factual errors, as prescribed by the CRA Regulation.

No amendments were applied after the notification process.

The rated entity is not a buyer of ancillary services provided by modefinance.

The rating action issued by modefinance was performed independently. The analysts, members of the rating team involved in the process, modefinance Srl and its members and shareholders do not have any conflicts of interest in relation to the Rated Entity and/or Related Third Parties. If in the future a potential conflict of interest is identified in relation to the persons reported above, modefinance Ratings will provide the appropriate information and if necessary the rating will be withdrawn.

The present Credit Rating is an opinion of the general creditworthiness that modefinance issues on the rated entity, and should be relied upon to a limited degree. The issued rating is subject to an ongoing monitoring until withdrawal.


Head Analyst – Christian Raimondo
+39 040 3756740

Assistant Analyst – Fabio Politelli
+39 040 3756740

Responsible for Rating Approval – Pinar Dilek
+39 040 3756740