The rating action is driven by the closer integration with MOL Group as a fully consolidated subsidiary, while credit metrics remain stressed.

The periodic review has resulted in no rating action.

The rating’s placement under review reflects the recently announced change in shareholder structure, with Hungarian oil and gas company MOL Group advancing towards full control of ITK Holding.

Deleveraging capacity remains, but improvement is delayed due to 2022 macroeconomic challenges and continued, high levels of investment in transportation services and newer operations as a higher value-added vehicle manufacturer and general distributor.

Scope takes no action on ratings for ITK Holding Zrt. as it expects the company to further pursue its growth strategy with support from majority shareholder MOL Group and with financial leverage in line with previous expectations.

The rating reflects very high leverage and risks in the new higher value-added vehicle manufacturing operations, balanced by stable transportation and business services and strong backing from the majority shareholder MOL Group.