Research Update: Voyage Australia Pty Ltd. 'BB-'Ratings Affirmed On New Zealand Divestment And Debt Reduction; Outlook Stable

Voyage Australia Pty Ltd. (Voyage) has sold its New Zealand operations, Orcon Holdings Ltd., to Voyage Digital (NZ) Ltd. (B+/Stable/--). Voyage's creditworthiness remains unaffected by the sale, given the A$340 million debt reduction from sale proceeds which largely offsets the loss of earnings from the New Zealand business. Moreover, the strength and stable cash flows of Voyage's Vocus Network Services (VNS) business continues to underpin our business risk assessment. We view Voyage as moderately strategic within the Voyage Australia Holdings group, reflecting our opinion that support from shareholders MAM (Macquarie Asset Management) and Aware Super (Aware) will occur in limited circumstances. On June 8, 2022, S&P Global Ratings affirmed its 'BB-' ratings on Voyage Australia Pty Ltd. and its related

...- Voyage Australia Pty Ltd. (Voyage) has sold its New Zealand operations, Orcon Holdings Ltd., to Voyage Digital (NZ) Ltd. (B+/Stable/--). Voyage's creditworthiness remains unaffected by the sale, given the A$340 million debt reduction from sale proceeds which largely offsets the loss of earnings from the New Zealand business. Moreover, the strength and stable cash flows of Voyage's Vocus Network Services (VNS) business continues to underpin our business risk assessment. - We view Voyage as moderately strategic within the Voyage Australia Holdings group, reflecting our opinion that support from shareholders MAM (Macquarie Asset Management) and Aware Super (Aware) will occur in limited circumstances. - On June 8, 2022, S&P Global Ratings affirmed its '##-' ratings on Voyage Australia Pty Ltd. and its related debt issues. We also affirmed the '##-' debt issue and '3' Recovery Rating (rounded recovery estimate: 50%) on Voyage Australia's term loan debt. - The stable outlook reflects our expectation...

Research Update