Moody's Cuts Rating on Private Credit Fund Run by KKR and Future Standard to Junk as Bad Loans Grow

Moody's cuts rating on private credit fund run by KKR and Future Standard to junk as bad loans grow

The move by Moody's is the latest sign of distress in private credit; retail investors have been rushing to withdraw funds from Blackstone to Apollo.

Private Credit Fund Run by Future Standard and KKR Cut to Junk by ...

Moody’s strips KKR/Future Standard BDC of IG status

Moody’s Ratings has downgraded private credit fund FS KKR Capital Corp (FSK), stripping it of its investment grade status and raising concerns over the quality of its assets. FSK is a $13bn (£9.7bn) publicly traded business development company (BDC) managed by global alternative asset managers KKR and Future Standard. Moody’s cut the firm’s long-term issuer […] The post Moody’s strips KKR/Future Standard BDC of IG status appeared first on Altern…

Moody’s cuts FS KKR Capital to junk on asset quality concerns

Moody’s has downgraded FS KKR Capital, a private credit vehicle managed by KKR and FS Investments, to Ba1, pushing the fund below investment grade, according to a report by Bloomberg. The downgrade reflects “continued asset quality challenges”, according to Moody’s, citing pressure on portfolio performance and profitability relative to peers. The move could increase borrowing costs for the approximately $14bn vehicle, which relies on debt market…

Moody’s cuts rating on private credit fund run by KKR and Future Standard to junk as bad loans grow

A KKR logo displayed on the floor of the New York Stock Exchange on Aug. 23, 2018.Brendan McDermid | ReutersMoody's Ratings on Monday downgraded a private credit fund run by KKR and Future Standard to junk amid rising bad loans and a string of weak earnings.The ratings firm lowered the debt ratings of FS KKR…

FS-KKR Capital: Downgraded By Moody's To Junk Status

Bloomberg reports on a rare downgrade of a large public BDC to "junk" status. We review the BDC's past and prospective credit path.