Moody’s affirms Singapore Technologies

Moody's Investors Service said it affirmed the Aaa issuer rating of Singapore Technologies Engineering Ltd.

The agency said the affirmation follows the company’s announcement that its U.S. subsidiary, Vision Technologies Aerospace Inc., entered into a conditional share purchase agreement to acquire MRA Systems, LLC from General Electric Co. for $630 million on a cash-free and debt-free basis.

“Even though the acquisition, if completed, will increase STE's leverage, it can be accommodated in the company's ratings,” Nidhi Dhruv, Moody's vice president and senior analyst, said in a news release.

“The rating affirmation reflects our expectation that the company will use its financial flexibility to maintain its credit metrics in line with a2 baseline credit assessment.”

© 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.