Moody’s confirms Comcast

Moody's Investors Service said it confirmed Comcast Corp.'s A3 senior unsecured long-term debt ratings.

All subsidiary long-term ratings under Comcast were also confirmed.

The outlook is stable.

The agency said the action follows the company's announcement that it has won an auction for Sky plc over 21st Century Fox America, Inc. along with Walt Disney Co.

The purchase price of about $40 billion is in cash and Moody’s said it expects Comcast will fund the transaction and associated fees predominantly with new debt.

Comcast's winning bid will result in temporarily elevated gross debt/EBITDA leverage of around 3.6x, including Moody's adjustments, pro forma for 2018, the agency said.

However, Moody’s said it believes that the company has the financial capacity and commitment to bring leverage back down to below 2.75x well within 18 to 24 months of the close of the transaction.

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