TNI || New Delhi || 29th Oct 2021
Daimler, which is on its way to getting listed on the Frankfurt Stock Exchange at the end of the year, approached S&P Global Ratings and Moody’s to set up first-time credit ratings.
Both the rating agencies have given solid investment-grade ratings for the trucking entity.
S&P has assigned a long-term issuer credit rating of BBB, whereas Moody’s has given a rating of A3. The outlook in both scenarios is stable for Daimler.
The Chief Financial Officer of Daimler Truck AG, Jochen Goetz, in a statement, said that the ratings given by both the credible organizations confirm that Daimler is prepared for independence which is guided by a crystal clear strategy and robust financial profile.
The development, according to him, is sure to push the growth in the financial services vertical and their ambitions to achieve higher margins.
Both the ratings given by the agencies reflect their assessment of the organization having a strong market position in geographies like the U.S. and Europe.
S&P has acknowledged that Daimler has developed a roadmap that has profitability to enhance the resilience of the operating performance at the time of industry downturns.
Moody’s has also mentioned Daimler Truck’s potential to grow profits through its conservative financial policy and a good liquidity profile.