Fitch publishes Ivirma B rating

Fitch Ratings said it published Inception Holdco Sarl's (Ivirma) B long-term issuer default rating with a stable outlook. At the same time, the agency assigned Inception's planned secured term loan B of around €1 billion an expected B+/RR3rating.

Inception's rating reflects the group's global commanding position in the assisted reproduction techniques (ART) market after Ivirma’s combination with General Life. The recent acquisition of Eugin Group also bolstered Ivirma.

“These acquisitions are a strategic fit, expand Inception's geographical diversification across Europe and add market share in the U.S. This should boost profitability from scale and synergy extraction, but carries meaningful execution risk. The IDR is constrained by high, albeit easing, EBITDAR leverage, which we expect to fall to 7x or below in 2024, to be consistent with Inception's IDR,” Fitch said in a press release.

The term loan will be used to refinance the senior secured debt facilities in full and will be issued by Inception Finco Sarl and Inception's other subsidiary, IVI America, LLC.

“The stable outlook reflects our view that Inception will consolidate its position in the global ART market and continue its stable operating performance and sustained positive free cash flow (FCF), mitigating its high financial leverage,” Fitch said in a press release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.