S&P ups SourceMedia, Accuity

Standard & Poor's said that it raised the corporate credit rating on SourceMedia Inc. and Accuity Inc. to B from CCC+. The ratings were removed from CreditWatch, where they were placed with positive implications on Jan. 6.

The outlook is stable.

The company used proceeds from the new term loan to refinance its entire capital structure.

The upgrade reflects the improvement in SourceMedia and Accuity's consolidated liquidity after the refinancing was completed and the view that liquidity will be adequate to meet the company's operating and debt service needs, S&P said.

The B corporate credit rating reflects SourceMedia's significant cash flow concentration in a small number of financial publications, the expectation that leverage will remain high, an aggressive financial policy and exposure to the volatile financial and technology industries, the agency said.

© 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.