Research Update: Resorts World Las Vegas LLC Assigned 'BBB+' Rating With Stable Outlook; Notes And Loans Rated 'BBB+'

Resorts World Las Vegas LLC (RWLV) is a highly strategic subsidiary of Genting Bhd., and we expect a strong level of support from the Malaysia-based parent company during the construction and initial ramp-up phases. RWLV is subject to construction and operation ramp-up risk, given its single project is still under construction. We expect the capital structure to remain highly leveraged in the next 24 months due to negative operating cash flow. On April 22, 2019, S&P Global Ratings assigned its 'BBB+' long-term issuer credit rating to RWLV and its 'BBB+' long-term rating to the company's senior secured debt obligations and senior unsecured notes. The stable outlook on RWLV is linked to the stable outlook on its parent company. This reflects

...- Resorts World Las Vegas LLC (RWLV) is a highly strategic subsidiary of Genting Bhd., and we expect a strong level of support from the Malaysia-based parent company during the construction and initial ramp-up phases. - RWLV is subject to construction and operation ramp-up risk, given its single project is still under construction. We expect the capital structure to remain highly leveraged in the next 24 months due to negative operating cash flow. - On April 22, 2019, S&P Global Ratings assigned its '###+' long-term issuer credit rating to RWLV and its '###+' long-term rating to the company's senior secured debt obligations and senior unsecured notes. - The stable outlook on RWLV is linked to the stable outlook on its parent company. This reflects our view that RWLV will receive strong support from the parent. It also reflects our expectation that the project will not register any material time or cost overruns....

Research Update