CALGARY, Alberta, Oct 10 (Reuters) - Ratings agency Moody’s revised Talisman Energy Inc’s rating outlook to “negative” from “stable” on Thursday, citing uncertainty over the struggling Canadian oil producer’s plans to slim down its portfolio of oil and gas assets.
“Talisman’s negative rating outlook reflects the uncertain outcome of the portfolio transformation taking place under the company’s strategic re-positioning,” Terry Marshall, Moody’s senior vice president, said in a statement.
“The company’s capital productivity is weak and it is uncertain when a clear, profitable and sustainable organic growth profile will be evident.”
The negative rating outlook comes just days after activist investor Carl Icahn disclosed a 6 percent stake in the company and said he intended to talk with Talisman’s management to discuss strategic alternatives, including asset sales or restructuring.
The announcement from Moody’s came after trading closed on the Toronto Stock Exchange. Talisman shares closed up 0.24 percent at C$12.73.