Fitch Ratings has revised the Rating Outlook on the Issuer Default Rating (IDR) and bond rating for New Jersey City University to Stable from Negative, the rating organization announced on Nov. 13.
Fitch has also affirmed the ‘BB+’ IDR and bond rating on approximately $136 million of outstanding par (FYE 2023) New Jersey Educational Facilities Authority (NJEFA) bonds, series 2007F, 2010G, 2015A, 2016D, 2021A and 2021B, issued on behalf of NJCU.
The positive outlook is the second for the university this calendar year after Moody’s Ratings upgraded NJCU’s outlook from ‘negative’ to ‘stable’ in February. This year’s two upgrades in rating and outlook are the first in more than a decade.
“The upgrade in NJCU’s Fitch rating is a clear reflection of the significant strides we’ve made in strengthening the University’s financial position and overall stability,” NJCU Interim President Andrés Acebo said. “This achievement underscores the effectiveness of our leadership team’s ongoing efforts to address challenges, improve operational efficiency, and position the University for the future. We’re grateful for the State Monitor’s consultative and collaborative support as we work to secure the long-term sustainability of our indispensable mission. Our efforts were bolstered by the State’s substantial stabilization funding investment in NJCU for fiscal years 2024 and 2025 as well as appropriations for operations, pension costs, and outcomes-based measures.”
“Moody’s also upgraded the University’s outlook to “stable” earlier this year. These enhanced ratings put us in a better position as we explore long-term strategic relationship options that will enable NJCU’s mission to thrive while also ensuring the best outcomes for all students.”
