12:44 PM EDT, 03/25/2024 (MT Newswires) -- Fitch Ratings said Monday that it has assigned Algoma Steel Group Inc. ( ASTL ) and Algoma Steel Inc. first-time B long-term issuer default ratings.

The rating outlook is stable.

Also, Fitch assigned BB/RR1 ratings to Algoma Steel Inc.'s 1st lien secured ABL credit facility and BB-/RR2 ratings to its new US$350 million 2nd lien senior secured notes due 2029.

"The ratings reflect Algoma's relatively small size and the heightened operational risk of operating a single blast furnace facility," the rating agency said.

The company's stock edged up 3.5% on last look on Monday.

Price: 11.14, Change: +0.38, Percent Change: +3.53