VICI Dividend Growth & Investment Grade Ratings
...AND PROGRESS TOWARDS ACHIEVING INVESTMENT GRADE RATINGS
REACTIONS FROM RATING AGENCIES
S&P Global
Ratings
VICI Properties Inc. Ratings Placed on CreditWatch
Positive on Announced Acquisition of MGM
Growth Properties LLC
August 4, 2021
"The acquisition will improve VICI's scale and tenant diversity such that it
could support a greater level of leverage at a higher rating...if the company
finances the acquisition with a mix of equity and debt that leads to pro
forma leverage of about 6x or below...we could raise our rating to BBB-"
LARGEST FOUR-WALL REITS CREDIT RATINGS (1)
All Other "Four-Wall" US REITS with a Total Enterprise Value in
Excess of $20Bn Have Investment Grade Credit Ratings
PLD
Enterprise
Value ($Bn)
$126
S&P Rating
Investment Grade
A-
EQIX
75
BBB
PSA
73
A
SPG
70
A-
O
54
A-
DLR
54
BBB
VICI's Equity Issuance & Exchange Offer Are Key
Fitch Ratings Steps Toward Venetian & MGP Acquisitions
September 15, 2021
"Pro forma VICI will have reduced tenant concentration, improved asset
quality...a fully unencumbered asset pool and a well staggered maturity
schedule. The combined company's strengthened credit profile and 5.0x-5.5x
net leverage target will likely be consistent with a low investment-grade
IDR over the long term."
MOODY'S
WELL
52
BBB+
ARE
41
BBB+
PF VICI
(2)
41
BB
EQR
41
A-
AVB
40
A-
BXP
34
BBB+
VTR
33
BBB+
EXR
31
BBB
INVH
31
BBB-
ā
Update Following Announcement to Acquire
MGM Growth Properties; Ratings Under
MAA
28
BBB+
INVESTORS SERVICE
ESS
27
BBB+
Review for Upgrade
August 12, 2021
UDR
24
BBB+
DRE
24
BBB+
ā
"The acquisition will improve the portfolio's quality and reduce tenant
concentration... the rating action also considers VICI's good corporate
governance...the review could result in an up to two notch upgrade for
VICI's CFR and senior unsecured rating"
PEAK
24
BBB+
MPW
23
BB+
KIM
22
BBB+
WPC
21
BBB
VICI
(1) As of February 23, 2022; "Four-Wall" REITS excludes tower and timber REITs. (2) Pro forma VICI Enterprise Value reflects pro forma fully diluted shares outstanding of 963mm and VICI closing share price of $26.97 on February
23, 2022.
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