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Transport

Avation credit rating hiked by S&P Global following improved air market conditions

The credit rating agency cited the company's improving capital structure and liquidity

Avation PLC (LSE:AVAP) noted that its credit rating has been raised by S&P Global Ratings.

The London-listed commercial passenger aircraft leasing company highlighted that its long-term issuer credit rating had been hiked to 'B-', with a stable outlook, from 'CCC' on improving capital structure and liquidity.

The credit agency also nudged up the issue rating on Avation Capital SA's unsecured notes to 'CCC+' from 'CCC-', while maintaining a view of modest recovery prospects.

This comes hot on the heels of Avation reporting that demand for aircraft is exceeding supply as air travel continues to recover, with cash collection rates at 105% and a review of its fleet valuation also underway.

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