Moody's confirms Merck

Moody's Investors Service said it confirmed the senior unsecured issuer ratings of Merck KGaA at Baa1 and Prime-2.

The outlook is stable.

Moody's said that the rating confirmation reflects the decision of Merck not to pursue the projected acquisition of Schering that would have deteriorated its financial profile though strengthening its business profile.

Moody's adding that its rating positioning will continue to reflect the strong financial structure, the business diversification and the favorable growth prospects of liquid crystals and Erbitux that should enhance cash-flow generation but also the constraints of the relative lack of-scale in particular in pharmaceuticals and the acquisition event risk.

© 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.