OREANDA-NEWS. Standard & Poor's Ratings Services said today it kept its 'B+' long-term corporate credit rating on Russia-based steel pipe producer OAO TMK on CreditWatch with negative implications, after TMK's core shareholder, Dmitriy Pumpyanskiy, increased his stake in the company to 100% from 67%.

The ratings were originally placed on CreditWatch on Sept. 4, 2006, pending clarification of the company's eventual balance sheet structure.

The parent plans to sell about 20% of TMK stock at the IPO scheduled for early November 2006.

"If the IPO proceeds help to refinance a significant part of transaction-related debt at the company and parent levels by the end of 2006 (which is the company's plan), the rating is likely to be affirmed," said Standard & Poor's credit analyst Elena Anankina. "Otherwise, the rating could be lowered, likely by one notch, reflecting higher leverage and exposure to refinancing risks."