NEW YORK-Standard & Poor’s Ratings Services has assigned a B corporate credit rating to SpectraSite Inc. and has raised the rating on SpectraSite Communications Inc.’s secured bank loan to B+ from CC. S&P said the company’s outlook is stable.
“The B corporate credit rating reflects the lower relative debt levels of SpectraSite vs. its rated peers, all of which are rated B- or lower,” explained S&P credit analyst Catherine Cosentino. “A favorable risk factor is that wireless companies may have few feasible alternatives to using SpectraSite’s towers. While an existing tenant might choose to build its own towers-an expensive undertaking-or possibly lease from another company, both of these alternatives could involve major system reengineering.”
Shares of SpectraSite were trading at $35.50 following the news, above its tower-owner competitors, all of which are currently trading well below $10.
