LONDON (Reuters) – The number of companies or countries at risk of seeing their credit ratings cut to junk from investment grade has been pushed to a record high of 111 by the coronavirus pandemic, S&P Global analysis shows.

The number of so-called ‘fallen angels’ has already reached 24 this year, impacting over $300 billion in debt, S&P estimates. The 111 potential fallen angels have another $444 billion of bonds, meaning the amount is likely to spiral much further.

Potential fallen angels are significant because the prospect of losing investment-grade ratings can lead investors to sell the bonds in favour of more creditworthy companies, pushing up their borrowing costs.

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