Moody's Investors Service upgraded the rating to "Aa2" from "Aa3" on Indianapolis-based Indiana University Health, affecting $1 billion in debt.
The upgrade is the result of several factors, including IU Health's strong market position, healthy margins, sustained liquidity resources and close affiliation with IU School of Medicine in Indianapolis.
The outlook is stable, reflecting Moody's expectation that IU Health's margins will continue to support capital spending and incremental debt for projects.