S&P upgrades the rating of Covivio to BBB+, outlook Stable
The rating agency S&P has announced the upgrade of the financial rating of
Covivio from BBB to BBB+, outlook Stable. This improvement comes 9 months after
the review of the rating outlook to Positive, recognizing the improvement of
the operating and financial profile of the company.
This upgrade is due to the repositioning of the portfolio realized since 2015
through sustained asset rotation and the reinforcement in Paris, Berlin and
Milan. This transformation led to an acceleration of the performance since the
last two years, along with solid growth perspectives across all the markets of
Besides, S&P acknowledges the strengthening of the financial profile following
the decrease of the Loan to Value target to "below 40%" from "40% to 45%".
Beyond the regular policy of asset disposals to finance investments, Covivio is
in capacity to reach this target by end-2019, especially thanks to the option
to receive the dividend in shares. The shareholders represented at the Board of
Directors (49% of the capital) have already announced their intention to
subscribe to this option, representing a capital increase of at least EUR190
Covivio is the only real estate operator in Europe rated BBB+ offering a
diversified profile both in term of activities (Offices, Residential and
Hotels) and countries (mainly France, Germany and Italy).
Thanks to its partnering history, its real estate expertise and its European
culture, Covivio is inventing today's user experience and designing tomorrow's
A preferred real estate player at the European level, Covivio is close to its
end users, capturing their aspirations, combining work, travel, living, and
co-inventing vibrant spaces.
A benchmark in the European real estate market with EUR23 Bn in assets, Covivio
offers support to companies, hotel brands and territories in their pursuit for
attractiveness, transformation and responsible performance.
Its living, dynamic approach opens up exciting project and career prospects for
Covivio's shares are listed in the Euronext Paris A compartment (FR0000064578 -
COV) and on the MTA market (Mercato Telematico Azionario) of the Milan stock
exchange, are admitted to trading on the SRD, and are included in the
composition of the MSCI, SBF 120, Euronext IEIF "SIIC France" and CAC Mid100
indices, in the "EPRA" and "GPR 250" benchmark European real estate indices,
EPRA BPRs Gold Awards (financial + Sustainability), CDP (A), Green Star GRESB
and in the ESG FTSE4 Good, DJSI World & Europe, Euronext Vigeo (World 120,
Eurozone 120, Europe 120 and France 20), Euronext(r) CDP Environment France EW,
Oekom, Ethibel, Sustainalytics and Gaïa ethical indices.
Covivio is rated BBB+ / outlook Stable by Standard and Poor's.