S&P rates Compass Group loans BB-

Standard & Poor's said it assigned a BB- corporate credit rating to Compass Group Diversified Holdings LLC and to its $200 million first-lien term loan due 2013.

The outlook is stable.

Proceeds will be used to refinance existing debt and help fund acquisitions.

S&P said the ratings reflect the acquisitive growth strategy, short track record of managing most of its businesses, the potential for more leverage and significant dividend that limits discretionary cash flow.

These risks are partially mitigated by the company's business diversity and modest leverage burden, 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.