S&P upgrades Station Casinos, debt

S&P said it raised its corporate credit rating on Station Casinos LLC to BB- from B and removed the rating from CreditWatch, where it was placed with positive implications on April 15.

The outlook is stable.

At the same time, the agency raised all issue-level ratings by two notches in conjunction with the upgrade of the company, and also removed them from CreditWatch.

"The upgrade reflects our belief that the completion of the IPO significantly reduces the risk of a future leveraging event to buy out minority equity holders, because it provides owners an alternative path to liquidate their ownership, and reflects our expectation that Station's leverage will improve to the high-4x area by the end of 2016 (pro forma for a full year of the Palms)," S&P credit analyst Stephen Pagano said in a news release.

© 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.