Fitch Affirms NewRiver REIT plc’s Credit Ratings

Fitch Ratings ('Fitch') has affirmed NewRiver REIT plc's Long-Term Issuer Default Rating (IDR) at 'BBB' with a Stable Outlook, senior unsecured rating at 'BBB+' and Short-Term IDR at 'F2'. The senior unsecured rating applies to NewRiver's £300 million unsecured bond dated 2028.

This rating follows the recent publication of NewRiver's results for the six months ended 30 September 2023 which demonstrated continued positive operational momentum, with active demand for space leading to our occupancy increasing to almost 98%, the highest level recorded since NewRiver was founded in 2009.

Our operations are supported by the strength of our balance sheet position, with Loan to Value reduced to 29.5%, interest cover of 5.2x, Net Debt to EBITDA at 4.4x, no refinancing requirement until 2028, £138 million of cash and a newly extended Revolving Credit Facility providing further liquidity of £100 million.

Will Hobman, Chief Financial Officer commented: "In the affirmation of our investment grade credit ratings, Fitch has once again recognised NewRiver's differentiated position in the UK retail market, focused on providing essential goods and services to consumers on rental terms affordable to retailers. This focus on resilient retail, alongside our best in class operating platform and the strength of our balance sheet, means we feel well positioned to access the growth opportunities that are now starting to emerge."

Fitch Ratings' Rating Action Commentary can be read in full on the Fitch Ratings website.

Gordon Simpson James Thompson