S&P Global Upgrades Stagwell's (STGW) Credit Rating to BB- from B+, Citing Robust Organic Net Revenue Growth and Improving Leverage
On August 22, 2022, Stagwell (NASDAQ: STGW) announced a credit rating upgrade by S&P Global from B+ to BB-.
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Rhea-AI Summary
On August 22, 2022, Stagwell (NASDAQ: STGW) announced a credit rating upgrade by S&P Global from B+ to BB-. This upgrade reflects the company's improving leverage and robust net organic revenue growth. The upgrade follows a previous rating increase from Moody's earlier in the summer, where Stagwell's rating was improved to B1 from B2, with a stable outlook. CEO Mark Penn emphasized the significance of this achievement as a testament to the firm's financial management and operational progress, positioning Stagwell as a leader in the digital transformation of marketing services.
Positive
- Credit rating upgraded from B+ to BB- by S&P Global.
- Robust net organic revenue growth noted.
- Improving leverage contributing to favorable ratings.
Negative
- None.
Details
News Market Reaction – STGW
The recorded move for STGW in the trading session of this news was -2.71%.
Data tracked by StockTitan Argus. Session date unavailable.
AI-generated analysis. How Rhea-AI works. Not financial advice.
NEW YORK, Aug. 22, 2022 /PRNewswire/ -- Stagwell (NASDAQ: STGW), the challenger network built to transform marketing, announced that S&P Global has upgraded the company's credit rating from B+ to BB-, noting the Company's improving leverage and robust net organic revenue growth.
"S&P's upgrade is a testament to our team's financial and operational management. We continue to demonstrate strong progress and growth as we emerge as a powerful force in the digital transformation of marketing services," said Mark Penn, Chairman and CEO, Stagwell.
S&P's upgrade follows an upgrade in Stagwell's corporate family rating from Moody's Investors Service (Moody's) earlier this summer. Moody's at the time upgraded Stagwell's rating to B1 from B2; the profitability of default rating to B1-PD from B2-PD; senior unsecured notes rating to B2 from B3; and speculative grade liquidity rating to SGL-2 from SGL-3. Given the upgrade, Stagwell's outlook was also changed to stable from positive.
Stagwell is the challenger network built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our 13,000+ specialists in 34+ countries are unified under a single purpose: to drive effectiveness and improve business results for their clients. Join us at www.stagwellglobal.com.
Contact:
Press:
Beth Sidhu
pr@stagwellglobal.com
(202) 423-4414
Investors:
Michaela Pewarski
ir@stagwellglobal.com
(646) 429-1812
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SOURCE Stagwell Inc.
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