Fitch affirms DaVita

Fitch Ratings said it affirmed DaVita Inc.'s issuer default rating at BB-, senior secured bank credit facility at BB+, senior unsecured notes at BB- and senior subordinated notes at B.

The outlook is stable.

The ratings reflect the near-term potential for margin compression from governmental reimbursement pressure, especially related to the new bundling rule, Fitch said.

The ratings also consider the company's historically acquisitive nature of the company's operations and management's willingness to increase debt leverage, despite recent conservatism, the agency said.

The ratings are supported by its adequate liquidity position, good financial flexibility and ability to consistently generate meaningful free cash flow.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.