S&P flips Novomatic view to positive

S&P said it revised its outlook for Novomatic AG to positive from negative and affirmed the BB ratings on the issuer and its notes.

“We expect Novomatic to report a reduction in S&P Global Ratings-adjusted leverage to 2.3x-2.5x in 2022 from 3x in 2021, and that its free operating cash flow (FOCF) after leases will strengthen markedly to about €150 million in 2022 from €10 million the year before. The group's gross debt repayments have supported these improvements,” the agency said in a press release.

The improved outlook indicates the potential for an upgrade over the next 12 months if Novomatic deleverages further, such that S&P Global Ratings-adjusted debt to EBITDA drops to, or under, 2x or and S&P Global Ratings-adjusted FOCF to debt stays above 20%, S&P 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.