S&P assigns B to EnTrans loan

S&P said it assigned its B issuer credit rating to EnTrans International LLC. The outlook is stable.

At the same time, S&P assigned a B issue-level rating and 3 recovery rating to the company's proposed $255 million first-lien term loan due 2025. The 3 recovery rating indicates an expectation for meaningful (50%-70%; rounded estimate: 50%) recovery in the event of a payment default.

The company will also have a $75 million asset-based lending revolving credit facility due 2023 (unrated).

“Our B issuer credit rating reflects EnTrans' relatively narrow scope, small scale, and participation in the highly cyclical tank trailer and oil and gas markets,” S&P said in a news release.

“The company's leading market position in its tank trailer business (with an estimated 45% market share) and relatively more stable tank trailer aftermarket parts and service business partially offsets these weaknesses.”

© 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.