Moody's puts Corporate Express on review

Moody's Investors Service said it put the Ba3 corporate family rating, Ba2 senior secured bank credit facility rating and B2 backed-subordinate rating of Corporate Express NV under review with direction uncertain.

The action follows news that Staples Inc. (rated Baa1 under review for possible downgrade) launched an unsolicited public offer of €8.00 per ordinary share in cash for Corporate Express. Corporate Express announced a business combination with Lyreco SAS in which Corporate Express acquires Lyreco for 102.5 million new ordinary shares of Corporate Express and €900 million in cash and vendor notes.

Moody's said it believes that shareholders will over the coming weeks consider the merits of the two transactions.

The agency said it views the unsolicited offer from Staples as an important incremental step in Staples' ongoing effort to acquire Corporate Express.

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