Amid a weakening macroeconomic environment and ongoing pressure by private and public payers to reduce healthcare costs, a growing number of healthcare companies are faced with credit rating downgrades and potential defaults.
Credit stress is rising in healthcare, which has long been considered a defensive sector for credit investors, Fierce Healthcare reports. The ratings of 24 North American healthcare companies have been downgraded to B3 negative or lower, representing a “material deterioration” in the sector’s credit quality, write Moody’s Investors Service analysts. Read more.
