S&P turns Aster outlook to negative

S&P said it revised its outlook on Aster Group Ltd. to negative from stable and affirmed the A+ ratings on the issuer, its senior secured debt and £1 billion senior secured medium-term note program issued by Aster Treasury plc, which it considers a core subsidiary of the group.

The outlook indicates that management's spending policy could hurt Aster's currently solid financial metrics. Higher investments in both existing and new assets, combined with other cost pressures such as those from its planned merger with Cecil & Central Housing Trust, could contribute to a weakening of the group's interest coverage and increase its debt burden, S&P said.

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