Research Update: Facility Services Provider ISS A/S Upgraded To 'BBB-' Following Successful IPO And Deleveraging; Outlook Stable Mar 14
- Language: English
- Published: March 2014
The ratings on Denmark-based facilities services provider ISS A/S and related entities (ISS or the group) reflect Standard & Poor's Ratings Services' view of the group's "highly leveraged" financial risk profile and weak overall credit measures. The ratings also take into account the potential for shareholder-friendly policies as a result of ISS' majority ownership by private equity firms Goldman Sachs Capital Partners and EQT Partners, which we incorporate into our assessment of the group's "aggressive" financial policy. Another key risk may take the form of wage inflation, which could weigh negatively on ISS' operating profit margins if the group finds it difficult to pass the related cost increase onto customers. The group's weaknesses are partially mitigated by its "strong" business...
Companies mentioned in this report are:
- ISS A/S
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
This product consists of a Summary Analysis: Bi-annual (at least). An abbreviated analysis containing Standard & Poor's issuer credit ratings as of the time the article was published. The analysis includes a rating rationale - the basis on which the rating was assigned - and an outlook section if the issuer is not on CreditWatch. Financial statistics are not included. SHOW LESS READ MORE >