S&P downgrades Asset Finance
The rating agency has downgraded Asset Finance to a B- credit rating in the wake of the last year's takeover deal. The downgrade indicates S&P views the company as slightly more vulnerable to market shocks under private equity ownership.
British investment firm Blackstar Capital acquired a controlling stake in the lender in October. Blackstar built up its stake to 70% in October but has held a minority stake in the business for several years.
S&P believes Blackstar's controlling interest makes Asset Finance slightly more vulnerable, as Blackstar is more reliant on debt to fund its operations.
S&P said Asset Finance is a "largely stable business", but said the consolidated Blackstar Group including Asset Finance was "marginally weaker" than the standalone business.
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