...The affirmation reflects Fitch Ratings' view that Solventum Corporation's (Solventum) credit profile remains underpinned by business profile factors in the mid-to-low 'BBB' category and financial profile factors that are low-to-high 'BBB' category. The Stable Outlook balances organic growth and improving cash flow against the proposed separation of the Health Information System (HIS) business. The separation would reduce diversification, scale, and certain financial metrics. A key assumption supporting the Stable Outlook, despite these uncertainties, is Solventum's commitment to a strong investment-grade rating. Fitch could reassess the Issuer Default Rating (IDR) and Outlook as the separation advances if Solventum does not appear likely to take sufficient measures to maintain the rating following the separation (e.g. debt repayment) as Fitch assumes it will....
