Moody's lifts ViaSat view to positive

Moody's Investors Service said it affirmed ViaSat, Inc.'s corporate family rating at B1 and changed the company's outlook to positive from stable.

The agency also upgraded ViaSat's speculative grade liquidity rating to SGL-2 (good liquidity) from SGL-3 (adequate liquidity).

Moody's also said it affirmed the company's probability of default rating at B1-PD and senior unsecured notes rating at B3.

The outlook revision is due to an expectation that the company will expand its market share and grow EBITDA over the next two years as ViaSat-2 is placed in service, Moody's explained.

With two ViaSat-3's on the way, ViaSat-2's financial success for would do much to validate the cash flow sustainability of ViaSat's satellites services operations, the agency said.

While these factors are credit positive, there still are execution risks as ViaSat-2 has not yet been launched, Moody's said, and market receptivity remains uncertain.

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