With the completion of the Autgrill acquisition, Dufry will become Avolta AG.
At the same time, the specialty airport retailer has confirmed strong and resilient results in its recently published trading update.
The improving credit outlook and the scope for a one-notch Moody’s upgrade, which would bring its rating in line with S&P’s BB rating, occur on the back of improved business conditions.
S&P recently raised the Dufry rating by one notch and revised the outlook to stable, but added that ratings could be raised further when the group’s operations recover to pre-pandemic levels (expected in 2024), and when Autogrill is fully integrated, giving rise to improved free cash flow.
Dufry’s bonds could be opportune for longer-term-oriented investors in our view.