S&P rates Ashland Global BB

S&P said it assigned a BB corporate credit rating to Ashland Global Holdings Inc.

The agency also said it affirmed of the ratings on Ashland LLC, including the BB corporate credit rating.

The outlook on both companies is stable.

The stable outlook reflects a belief that Ashland will remain committed to maintaining, or slightly improving, its credit measures following the spin-off of the Valvoline Inc. business, S&P explained.

Ashland recently closed on its initial public offering of Valvoline, S&P said.

The group’s credit risks have diminished somewhat because it has taken this important step forward in executing its spin-off plan, the agency said.

The proceeds are expected to be used to repay outstanding debt, S&P said.

Although the Valvoline business provided Ashland with a fair degree of diversity and scale, the company still has solid profitability, leading market positions and geographic diversity, the agency said.

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