Fitch affirms triple-B-plus rating, outlook "stable"
New York, N.Y. (Monday July 31, 2023)
Fitch Ratings of New York assigned a ‘BBB+' Issuer Default Rating (IDR) to Diakon’s obligated group (OG) and assigned a BBB+ revenue rating to approximately $117 million of revenue bonds issued by Maxatawny Township Municipal Authority and Cumberland County Municipal Authority on behalf of Diakon. The rating is listed as “stable” in both cases.
“We are pleased with the affirmation of our investment-grade rating by Fitch, a result of the Diakon team’s responsible stewardship of our financial resources during a challenging time for the senior living industry,” explains Scott Habecker, Diakon President/CEO. “Maintaining this financial strength is critical to our ability to continue to grow our services and provide high-quality care across our continuum.”
According to Fitch’s media release, the 'BBB+' rating reflects Diakon's strong revenue defensibility as a multimarket, diversified life plan community and a midrange operating risk, which is characterized by a history of steady operations and a manageable debt burden.
You can read the full report by clicking here.