Moody’s upgrades Compassus

Moody’s Investors Service said it upgraded FC Compassus, LLC’s ratings, including the corporate family rating to B2 from B3 and probability of default rating (“PDR”) to B2-PD from B3-PD.

Simultaneously, Moody’s raised the company’s senior secured first-lien bank credit facilities to B1 from B2 and changed the outlook to stable from positive.

“The upgrade of the CFR reflects Compassus’ reduced financial leverage and Moody’s expectation for further improvement in profitability and credit metrics. In October, Compassus acquired the remaining 50% of Ascension at Home’s hospice business, fully funded through preferred equity issued to Ascension Health Alliance (Ascension), accounting for approximately 4% ownership in the company. This follows Compassus’ partially equity-funded purchase of a 50% ownership share in Ascension at Home, a provider of services primarily in home health, but also hospice and infusion therapy, across 34 home health and 22 hospice locations, for approximately $130 million, in July 2020,” Moody’s said in a press release.

The stable outlook reflects the expectation Compassus will continue to grow revenue and earnings but that financial leverage will remain moderately high to support business development, Moody’s said.

© 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.