S&P Global Ratings has placed a BBB+ long-term issue credit rating on Olympus' (TYO:7733) proposed U.S. dollar unsecured straight bonds, according to a Thursday release.
The bonds' rating is equivalent to the Japan-based medical technology company's long-term issuer credit rating, given a minimal financial risk profile with low-enough leverage to anchor the issuance's additional debt burden.
S&P also believes there is a narrow likelihood of significant disadvantage for some noteholders.
The company's rating reflects its strong position in niche areas of global medical device markets, market growth amid increasing global demand for endoscopes and therapeutic solutions and significant dependence on the gastrointestinal endoscope segment.
The rating agency expects the company to keep a debt-to-EBITDA ratio at about 1x for the fiscal year ending March 31, 2027.
Shares of the company rose more than 2% in recent trade.