S&P ends watch on MediaCo

S&P said it affirmed the B issue rating for Inter Media and Communication SpA’s (MediaCo) bonds and removed it from CreditWatch with negative implications. The outlook is stable.

MediaCo is the main financing vehicle for Italian football club Internazionale Milano (TeamCo). MediaCo services its bonds through receivables from TeamCo's media and sponsorship contracts and TeamCo depends on the distributions it gets from MediaCo to fund part of its operations.

“The risk of a material drop in MediaCo's cash flow has eased following the restoration of a contractual sponsorship revenue stream on the back of TeamCo's strong on-pitch performance and brand. TeamCo had a strong on-pitch performance over the previous season that ended in June 2023, peaking with its achievement of second place in the Union of European Football Associations (UEFA) Champions League in June 2023. Performance prize money from UEFA, as well as from the Italian Super Cup and Coppa Italia, boosted MediaCo's income,” S&P noted in a press release.

The stable outlook reflects a forecast for TeamCo to remain in Italian football’s top division enabling it to continue drawing strong sponsorship and media revenue.

© 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.