S&P revises Diebold Nixdorf view to negative

S&P said it affirmed all of its ratings on Diebold Nixdorf Inc., including the B- issuer credit rating, and revised the outlook to negative from stable.

On March 19, Diebold Nixdorf announced that it drew its full availability under its $412.5 million revolving credit facility to increase its cash position out of an abundance of caution in light of the evolving Covid-19 pandemic.

“While the bolstered liquidity position will likely enable Diebold to withstand the short-term demand and supply constraints and operational disruption due to Covid-19, we believe the uncertain macro environment could significantly pressure hardware sales in 2020,” S&P said in a news release.

“In addition, a slower than expected recovery could delay certain DN Now initiatives, leading to elevated leverage and threatening the company's ability to refinance maturities in 2021 and beyond.”

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