RXO, the brokerage division spinoff from XPO Logistics that will become a stand-alone company in two weeks, has its first debt rating. And it’s higher than the company that is about to spin it off.
S&P Global Ratings last week rated RXO BB+. That is one notch above the BB rating held by XPO (NYSE: XPO). However, S&P put XPO on Creditwatch Positive in June, which is often the first step toward a ratings upgrade.
The RXO rating of BB+ is the highest grade among its non-investment-grade ratings....