S&P changes Elior outlook to positive

Standard & Poor's said it revised its outlook on Elior SA to positive from stable and affirmed the BB long-term corporate credit rating.

The agency also affirmed its BB issue rating on the €228 million senior secured notes due 2020, issued by special-purpose vehicle Elior Finance & Co. SCA. Elior Finance has extended the facility H1 loan to Elior and the group's other senior secured facilities. The 3 recovery rating on the debt is unchanged.

S&P said the outlook revision reflects its view that an increase in generated cash flows, together with a less aggressive financial policy – following a reduction in the ownership of Elior's former private equity sponsors – will progressively improve Elior's credit metrics toward a level more commensurate with a "significant" financial risk profile.

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