S&P rates Worldpay, loans BB

S&P said it assigned BB ratings to Worldpay (New Boost Holdco LLC) and its planned $3.4 billion term loan and $1 billion U.S. dollar equivalent euro term loan. The company also plans to secure a $1 billion revolver, which the agency is not rating, to be undrawn at closing. The outlook is stable.

Worldpay plans to use the debt to partially fund GTCR's purchase of 55% of the company from Fidelity National Information Services Inc.

Financial sponsor GTCR is publicly committed to providing up to $1.25 billion for inorganic growth opportunities. This enables Worldpay to proactively pursue acquisitions that expand its capabilities and geographic reach in a constantly evolving industry.

S&P said it forecasts Worldpay’s EBITDA margin will slip in 2024 due to high one-time transition costs but should recover in 2025 and leverage will improve to the low-4x area.

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