Olympus Corp.'s Proposed U.S. Dollar-Denominated Bonds Rated 'BBB+'

TOKYO (S&P Global Ratings) Nov. 29, 2021--S&P Global Ratings today said it has assigned its 'BBB+' long-term issue credit rating to Olympus Corp.'s (BBB+/Stable/--) proposed U.S. dollar-denominated senior unsecured bonds. We equalize the long-term issue rating on the bonds with our long-term issuer credit rating on the Japan-based medical technology company for two reasons. One, we view its leverage as low enough to handle the additional debt burden of the issuance (we assess the financial risk profile as minimal). And two, we see limited possibility of the noteholders becoming significantly disadvantaged relative to other lenders. The bond issuance is likely to have minimal impact on Olympus' credit quality. We expect it to use the proceeds to refinance existing debt and

...November 28, 2021 TOKYO (S&P Global Ratings) Nov. 29, 2021--S&P Global Ratings today said it has assigned its '###+' long-term issue credit rating to Olympus Corp.'s (###+/Stable/--) proposed U.S. dollar-denominated senior unsecured bonds. We equalize the long-term issue rating on the bonds with our long-term issuer credit rating on the Japan-based medical technology company for two reasons. One, we view its leverage as low enough to handle the additional debt burden of the issuance (we assess the financial risk profile as minimal). And two, we see limited possibility of the noteholders becoming significantly disadvantaged relative to other lenders. The bond issuance is likely to have minimal impact on Olympus' credit quality. We expect it to use the proceeds to refinance existing debt and on growth investments. Even if the issuance proceeds as planned, we assume the company's ratio of debt to EBITDA, a key cash flow metric, will recover to just below 1.5x as of the end of fiscal 2021 (ends...

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