S&P Downgrades Aroundtown’s Credit Rating to BBB Stable

Standard and Poor’s has downgraded Aroundtown SA’s credit rating from BBB+ negative to BBB stable. This decision reflects concerns over market volatility and a weakening German economy, which may slow Aroundtown's disposal activities and hinder its deleveraging efforts in 2025. Despite the downgrade, S&P acknowledges the company's progress in improving its debt-to-capital ratio from 55.5% in March 2024 to 52.1% by the end of December 2024.

Aroundtown acknowledges the rating change but emphasizes its strides in fortifying its financial position. Measures taken include disposals, dividend suspension, and liability management efforts. These initiatives have mitigated much of the negative impact from the macroeconomic environment. The company remains focused on its diversified portfolio and conservative financial strategy, seeking to drive operational growth and support its credit metrics.