S&P: MSCI Inc. 'BB+' Corporate Credit Rating Affirmed; 10-Year Unsecured Notes Rated 'BB+' (Recovery Rating: 3)
At the same time, we assigned a 'BB+' issue-level rating and a '3' recovery rating to the company's proposed 10-year unsecured notes. The '3' recovery rating indicates our expectation for meaningful recovery (50% to 70%; in the lower half of the range) in the event of a payment default.
We also affirmed our 'BB+' issue-level rating on the company's existing unsecured notes and revolving credit facility. The '3' recovery rating is unchanged.
"The rating reflects MSCI's leading market positions, highly recurring revenue base, and good track record of operating results, but also leverage that we expect to rise to the 3x area over the next six to 18 months as the company spends its excess cash on share buybacks," said S&P Global Ratings credit analyst Christian Frank.
The stable outlook reflects our view that MSCI's leadership position in its core markets and its large recurring revenue base will result in consistent operating performance over the next 12 months, as well as our expectation that it will manage financial risk in line with its 3.0x-3.5x gross leverage target (management methodology).
Комментарии