Fitch revises IVCE outlook to negative

Fitch Ratings said it revised IVC Acquisition Pikco Ltd.'s (IVCE) outlook to negative from stable while affirming its long-term issuer default rating at B. The agency also affirmed IVC Acquisition Ltd.'s senior secured instrument rating at B+ with an RR3 recovery rating.

“The revision of the outlook to negative reflects our expectation that IVCE's deleveraging is likely to be delayed until financial year 2025 (ending September). This is driven by temporarily lower profitability in a weakened economic environment, inflationary cost pressures, and slower free cash flow (FCF) generation amid higher interest rates, which will burden IVCE's operating and credit metrics in FY23.

“The negative outlook also factors in the uncertainty around its medium-term business strategy and rising execution risks to achieve integration following a record year of acquisitions,” the agency said in a press release.

© 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.