S&P raises Genting’s long-term rating thanks to surplus cash

    Ratings agency Standard & Poor’s has raised its long-term corporate credit rating on Genting to A- from BBB+ and said the outlook is stable, thanks mainly to surplus cash on the balance sheet. 

    “We expect the company to maintain a sizable cash balance, a significant part of which we consider to be surplus cash,” credit analyst Chan Kah Ling said. S&P said license renewal is a fairly low risk for the company as it has now had its permission to operate since the 1960s. She said Genting’s competitive position was “satisfactory” due to the group’s leading market positions in its key markets and good operating efficiency.