Avolta Achieves Credit Rating Upgrade from Moody's to Ba2 with Stable Outlook

Avolta AG, a premier global player in the travel experience sector, recently secured a credit rating enhancement to Ba2 with a Stable outlook by Moody’s Investment Service. This advancement, from a previous rating of Ba3, was announced following a successful merger with Autogrill in 2023 and remarkable financial results. The credit rating boost also considers Avolta's strategic capital allocation and a favorable trading climate in 2024.

According to Moody’s report dated March 27, 2024, factors contributing to this uplift include Avolta’s continuous revenue growth, profitability in 2023, and benefits accrued from merging with Autogrill. This merger, mainly financed through stock, increased the company's scale and diversified its product offerings and channels. Avolta's commercial position was further strengthened by a 12-year concession in Spain awarded in 2023, offering expanded floorspace and product range.

Moody’s praised Avolta for being a leader in travel retail and food and beverage, with extensive geographic and product diversification and steady profitability. Furthermore, the agency recognized Avolta’s sound liquidity status as of December 2023, with adequate cash balances and credit facilities, bolstering the company’s financial position.

The rating upgrade reflects Moody’s confidence in Avolta’s future, expecting sustained growth in revenue and EBITDA, anchored by rising global air passenger traffic. Avolta’s CFO, Yves Gerster, welcomed the rating upgrade, seeing it as acknowledgment of Avolta’s strong 2023 performance and successful execution of strategic initiatives, including the transformative merger with Autogrill.