12-30-2017, 06:56 PM
18.12.17 DOV S&P CR from A- down to BBB+
quote from S&P page
Dover Corp. is spinning off the upstream energy business within its Dover
Energy segment (wellsite) to create a standalone public company.
Dover will likely receive a $700 million-$800 million dividend from the
transaction, which it will use to fund the bulk of its planned $1 billion
of share repurchases by the end of 2018.
Therefore, we are downgrading Dover Corp. to 'BBB+' from 'A-'.
The stable outlook reflects our belief that Dover's debt leverage and
other credit measures will remain appropriate for the current rating
given the healthy global economy, management's continued cost
improvements, the meaningful proceeds the company will receive from the
spin-off of its upstream energy business, and its financial discipline.
quote from S&P page
Dover Corp. is spinning off the upstream energy business within its Dover
Energy segment (wellsite) to create a standalone public company.
Dover will likely receive a $700 million-$800 million dividend from the
transaction, which it will use to fund the bulk of its planned $1 billion
of share repurchases by the end of 2018.
Therefore, we are downgrading Dover Corp. to 'BBB+' from 'A-'.
The stable outlook reflects our belief that Dover's debt leverage and
other credit measures will remain appropriate for the current rating
given the healthy global economy, management's continued cost
improvements, the meaningful proceeds the company will receive from the
spin-off of its upstream energy business, and its financial discipline.