S&P ups Avago

Standard & Poor's said it removed Avago Technologies Finance Pte. Ltd. and related entities from CreditWatch, where they were placed on Sept. 19 with positive implications, and raised the corporate credit rating to BB- from B.

The agency also upgraded the company's senior secured rating to BB+ from BB- on its revolving credit facility, which was recently upsized from $250 million to $375 million.

The outlook is stable.

S&P said the upgrades follow the company's steps to de-lever and operating trends that have remained stable over the past several quarters.

Ratings reflect challenges in growing a portfolio of sole-sourced, leading-edge technology semiconductors, modest free cash flow and short operating track record as an independent company, the agency said.

These factors are partially offset by the company's broad product line and moderate leverage, S&P said.

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