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Moody's Places Signature Aviation's Ratings On Review For Downgrade

Fri, 22nd Jan 2021 18:04

(Alliance News) - Moody's Investors Service on Friday has placed the ratings of aviation services company Signature Aviation PLC on review for downgrade.

This includes the corporate family rating of Ba3, the probability of default rating of Ba3-PD, and the Ba3 ratings of the USD650 million backed senior unsecured notes due 2028, and USD500 million backed senior unsecured notes due 2026.

The outlook has changed to ratings under review from negative, the ratings agency said.

The rating action reflects the announcement of a recommended cash offer by GIP IV Hancock Bidco LP, a partnership controlled by Global Infrastructure Partners, for the entire share capital of Signature Aviation.

Moody's said the review reflects the uncertainties over whether the acquisition will result in changes to Signature Aviation's business, financial or liquidity profile.

The review will be focusing on the possible financial arrangements following the acquisition, Bidco's overall financial policy in relation to leverage and dividend distributions, and its wider strategy for the business, Moody's highlighted.

Signature Aviation shares closed 0.2% higher in London on Friday at 426.00 pence each.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

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