Moody’s turns TCW outlook to negative

Moody’s Investors Service said it changed its outlook for Clipper Acquisitions Corp. (TCW) to negative from stable and affirmed the Baa3 ratings on the company and its senior secured term loan due March 2028.

“The change in outlook to negative from stable reflects notable deterioration in TCW's key credit metrics. Record declines in the fixed-income market in 2022 in turn drove large declines in TCW's assets under management (AUM), revenue and EBITDA as well as significant net outflows. As a result, leverage has increased above and profitability has fallen below our expectations for an investment-grade asset manager,” the agency said in a press release.

However, Moody’s said it anticipates TCW’s leverage and profitability can rebound to investment grade levels over the next 12-18 months.

© 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.