Fitch raises Peach Property

Fitch Ratings said it raised Peach Property Group AG's long-term issuer default rating to BB from BB-. The agency also upgraded the unsecured debt rating to BB+ from BB.

“The upgrade reflects expected improvements in Peach's financial profile (cash flow leverage, interest cover) combined with the business and financial profile improvements already achieved. Fitch forecasts Peach's cash flow will improve to 19x in 2022, and below 18x in 2023, when the company collects a full year's worth of rents from part-year acquisitions, and receives the scale benefits of its operational platform,” the agency said in a press release.

“We expect interest cover to improve to 1.7x in 2021 and 1.9x in 2022. Peach has already achieved other improvements: greater diversification, larger scale and improved profitability together with a larger unencumbered asset base and improved access to capital,” Fitch said.

The outlook is stable.

© 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.