Moody’s affirms Consensus Cloud Solutions’ B2 rating, downgrades notes Investing.com -- Moody’s Ratings has affirmed the B2 corporate family rating (CFR) of Consensus Cloud Solutions, Inc. while downgrading the company’s senior unsecured rating to B3 from B2, with a stable outlook. The rating action follows Consensus Cloud Solutions’ closing of a $225 million senior secured credit facility, which includes a $75 million revolving credit facility expiring July 2028 and a $150 million delayed draw term loan due July 2028. The cloud fax services provider plans to fully draw down on the delayed draw term loan to repurchase a portion of its unsecured notes due 2026 when they become callable at par on October 15, 2025. The company is expected to use cash on hand and/or revolver drawings to repay the remaining balance of these notes. Moody’s explained that the downgrade of the senior unsecured instruments reflects the increased mix of senior secured debt in the capital structure and the expected reduction of loss absorption when the unsecured notes are repaid. The affirmation of the B2 CFR is based on expectations that Consensus’s revenue trends will improve over the next 12 months despite continued declines in the small office home office (SoHo) segment. This decline is partially offset by continued revenue growth in the Corporate segment. Moody’s noted that Consensus’s B2 CFR is constrained by moderately high debt/EBITDA of 3.4x as of March 31, 2025, small scale relative to other healthcare software as a service companies, and concentration around its cloud fax offering. The rating is supported by good liquidity, consistent annual free cash flow generation, expected growth in the Corporate segment, and a prudent financial policy. The company has repaid $223 million of debt under its $300 million bond repurchase program as of May 7, 2025. Consensus maintains $53 million cash on hand and full availability under its new $75 million revolver. The stable outlook reflects Moody’s expectation that the company’s revenue trends will improve, debt/EBITDA will remain below 3.75x, and modest free cash flow relative to debt will be generated. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. With CCSI making headlines, savvy investors are asking: Is it truly valued fairly? In a market full of overpriced darlings, identifying true value can be challenging. InvestingPro's advanced AI algorithms have analyzed CCSI alongside thousands of other stocks to uncover hidden gems. These undervalued stocks, potentially including CCSI, could offer substantial returns as the market corrects. In 2024 alone, our AI identified several undervalued stocks that later surged by 30 or more. Is CCSI poised for similar growth? Don't miss the opportunity to find out.

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Grifols’ rating upgraded to B2 by Moody’s with positive outlook Investing.com -- Moody’s Ratings has announced an upgrade in Grifols (BME:GRLS) S.A.’s corporate family rating (CFR) and probability of default rating (PDR) from B3 to B2. The instrument ratings of the backed senior secured instruments issued by Grifols, Grifols World Wide Operations Ltd., and Grifols World Wide Operations USA, Inc. have also been upgraded from B2 to B1. Additionally, the instrument ratings of the backed senior unsecured instruments issued by Grifols Escrow Issuer, S.A.U. have been upgraded from Caa2 to Caa1. The outlook for all entities remains positive. The upgrade is a reflection of Grifols’ strong operating performance, robust revenue, and profitability growth, and improved management execution, which has led to an improvement of its key credit metrics. Moody’s expects Grifols’ gross leverage to trend below 6.5x by the end of 2025 from 7x for the last twelve months to March 2025, and its EBITDA to interest expense to be around 3x in 2025. The company’s free cash flow (FCF) is forecasted to be about €250-270 million over the next 12-18 months and continued good liquidity. The positive outlook is based on expectations that Grifols’s operating performance and credit metrics will continue to improve over the next 12-18 months. Specifically, its gross leverage is forecasted to trend towards 5.5x, with an EBITDA to interest expense above 3x, and increasing cash generation. The B2 rating also reflects Grifols’ strong market position, scale, and vertical integration in human blood plasma-derived products, which are relevant for the industry. The rating also considers the company’s current high leverage, high capital intensity of the business, and working capital requirements which can have large swings during the fiscal year, and are important drivers of FCF. Grifols’ liquidity is seen as good, supported by €753 million of cash balances at the end of March 2025, and a fully available revolving credit facility (RCF) of $938 million due in May 2027. The company’s next debt maturities are about €3 billion due in 2027. The rating could be upgraded if there is a continued improvement to operating, financial performance, profitability, and cash flow generation. However, the rating could be stabilized if the expected gradual improvement of key credit metrics does not materialize over the next 12-18 months. Conversely, the rating could be downgraded if Grifols’ operating performance weakens, leading to a worsening of credit metrics. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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Moody’s cuts Synthomer’s rating to B2, maintains negative outlook SYNTS hereremove ads Latest comments Install Our AppScan QR code to install app Google Play App Store Blog Mobile Portfolio Widgets About Us Advertise Help & Support Authors Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website. It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website. Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

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Moody’s affirms Sammaan Capital B2 rating, raises outlook to positive Investing.com -- Moody’s Ratings has confirmed the B2 long-term corporate family rating of Sammaan Capital Limited. Simultaneously, the ratings of Sammaan Capital’s (P)B2 foreign and local currency senior secured medium-term note (MTN) program were maintained. The ratings agency also upgraded the outlook on Sammaan Capital’s ratings from stable to positive. The affirmation of Sammaan Capital’s ratings reflects the company’s strong capitalization and substantial loan loss buffers, which are expected to offset high asset risks. These strengths are counterbalanced by the company’s sluggish growth and moderate earnings. The affirmation also takes into account Sammaan Capital’s funding access, which is weaker than its peers. The change in Sammaan Capital’s ratings outlook to positive from stable is in anticipation of the company continuing to decrease its legacy assets and enhance its overall asset quality. Between March 2024 and December 2024, gross nonperforming assets (GNPA) fell due to write-offs and the selling of problematic assets to asset reconstruction companies. As of December 2024, the reported GNPA as a percentage of assets under management improved to 1.1% from 2.7% as of March 2024. However, the stressed assets pool, which includes GNPA, stage 2 and security receipts, grew during this period. Legacy assets still make up a significant portion of its on-balance sheet loans at about 40%. A reduction of the legacy assets, along with an improvement in overall asset quality, would be credit positive. Sammaan Capital reported a loss in the nine months ended December 2024 due to substantial provisions made in the September 2024 quarter. It is anticipated that the lender will return to profitability in the subsequent quarters. Despite some improvement, Sammaan Capital’s funding access continues to be modest. The lender’s funding costs are higher than its peers and borrowings are concentrated, with the top 10 lenders accounting for 73% of the lender’s total borrowings as of March 2024. While the company’s liquidity coverage ratio improved to 218% as of December 2024 from 81% a year earlier, it remains lower than some of its rated peers. The potential for Sammaan Capital to transition to an asset-light model, which could enhance profitability and decrease future funding volatility, is a key factor for the ratings. An upgrade to Sammaan Capital’s ratings could occur if the company continues to decrease its legacy assets while improving overall asset quality, improves earnings quality while maintaining the return on assets at 1.5%, and successfully transitions to an asset-light model, such as a sustained increase in assets under management that supports the company’s profitability. However, the upgrade would be contingent on the company maintaining capitalization above 25%. Conversely, a downgrade of Sammaan Capital’s ratings could occur if the company sustains losses or if asset quality deteriorates, as indicated by an increase in nonperforming loans and significantly weaker loan loss buffers. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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