S&P: Maxim Crane on watch

S&P said it placed the B corporate credit rating on Maxim Crane Works LP on CreditWatch with negative implications.

The agency also said it placed on negative watch the B rating on Maxim's $325 million senior secured second-lien term loan due 2018 because lenders are expected to be paid in full due to a change-of-control provision in the credit agreement.

Apollo Global Management LLC has entered into an agreement to acquire Maxim Crane from private-equity firm Platinum Equity, S&P explained.

Apollo also signed an agreement to acquire AmQuip Crane Rental from Clearlake Capital Group LP and intends to combine AmQuip with Maxim following the close of the transactions, the agency said.

The purchase price and financing plan for the transactions has not been announced, S&P added.

The negative watch reflects the potential for lowered ratings on Maxim if Apollo Capital needs to take on additional debt to fund the acquisition, which could weaken the company’s credit measures, the agency said.

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