Fitch upgrades Halifax Health’s bond rating

Fitch Ratings has assigned a “BBB+” rating to $112 million of series 2015 bonds issued on behalf of Daytona Beach, Fla.-based Halifax Health. Fitch also upgraded the rating on $169.6 million of series 2006A bonds, $105 million of series 2006B1-2 bonds and $70 million of series 2008 bonds issued on behalf of the system to “BBB+” from “BBB.”

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The rating assignment and upgrades were supported by a number of factors, including the system’s sustained improvement in operating cash flow through the four-month interim period ended Jan. 31.

The rating assignment and upgrades were also supported by the system’s balance sheet strength and leading market share.

The system also faces some challenges, which were considered for the rating actions, such as its pro forma debt burden remaining elevated.

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