News Alert - Credit rating update
News release
Boost for whg as credit rating upgraded by Moody's
whg has had its credit rating upgraded by ratings agency Moody's in recognition of its strong financial management and solid balance sheet.
The leading Midlands' landlord has been upgraded from a rating of A3 to A2. Moody's also upgraded the standalone Baseline Credit Assessment (BCA) to A3 from Baa1 and WHG Treasury plc's senior secured debt rating to A2 from A3. The outlook for both is stable.
The upgrade reflects whg's strong deleveraging trend and Moody's expectation that it will maintain a stronger balance sheet and more robust interest coverage ratios than peers. Moody's also commented that our gearing will remain in line with A2-rated peers and highlighted our strong financial management, moderate exposure to market sales and moderate development ambitions compared to peers.
The stable outlook reflects Moody's expectations that the expected gradual reduction in inflation will alleviate pressures on the cost base and that the proactive risk reduction measures taken by Walsall in a weaker operating environment will limit development risk.
Sangita Surridge, Corporate Director of Finance, said "This upgrade in our Moody's rating reflects our Corporate Strategy and provides clear affirmation of our credit strength.
"We are particularly pleased with Moody's assessment of our financial management which is an area we have focused extensively on in recent years."
Moody's is a major credit ratings agency which provides ratings to many registered providers and its opinions are key in allowing landllords to secure finance from lenders.
Ends.
Media contact
whg External Communications Specialist: Katie.Swann@whgrp.co.uk | 07889 429917
Notes to editors
whg started life in Walsall, where most of its homes are, and it is still the place that anchors the organisation. Today, whg operates across the Midlands, owning and maintaining around 22,000 homes in areas such as Walsall, Telford, Wolverhampton, Worcestershire and Staffordshire.
The business are proud champions of the region, playing an active role in its future prosperity through regeneration, place shaping and community investment. whg specialise in delivery through strategic partnerships, including with Homes England. Visit www.whg.uk.com to learn more.
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