S&P upgrades Acadia

Standard & Poor's said it raised the corporate credit rating on Acadia Healthcare Co. Inc. to B+ from B-.

The outlook is stable.

The agency also said it raised the rating on the company's senior unsecured notes due 2018 and 2021 to B- from CCC+. The recovery rating remains 6, indicating 0% to 10% expected default recovery.

The upgrade reflects a belief that the company will be able to manage credit metrics that support an aggressive financial risk profile, while pursuing an aggressive growth strategy through acquisitions and de-novo expansion, said Tahira Wright, an S&P analyst.

The ratings also consider potential operating and integration challenges as Acadia continues to rapidly expand its business and its exposure to uncertain third-party reimbursement, the agency 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.