Global credit rating agencies are raising LG Electronics' credit rating. The agencies are paying attention to the profitability improvement and the growth potential of the auto parts business following the end of the mobile phone business.
According to the industry on the 12th, Fitch Ratings, a global credit rating agency, raised LG Electronics' credit rating by one level. Fitch changed it from BBB- to BBB, and its rating outlook remained 'stable'. It is the first time in eight years that the credit rating for LG Electronics has been raised.
The industry believes that the improvement of the stability of the operation following the end of the mobile phone business and the expectation of the turnaround of the VS (auto parts) business headquarters are reflected.
In February, global credit rating agency Moody's also raised LG Electronics' credit rating by one level in seven years. Currently, the rating and rating outlook are stable at ' Baa2'.
Fitch's upgrade of its credit rating following Moody's is expected to have a positive impact on LG Electronics' credibility , public image, and its funding activities.
Reporter Lee Ji-sun stockmk2020@gmail.com
