S&P rates CSG convertibles

Standard & Poor's said it assigned its B rating to CSG Systems Inc.'s $200 million senior subordinated convertible contingent debt securities. At the same time, S&P affirmed its BB- corporate credit rating with a stable outlook.

The proceeds of this issue, along with a portion of cash on the balance sheet, will be used to refinance about $199 million in senior secured bank debt and to repurchase up to $40 million of CSG's common stock.

S&P said the ratings reflect the company's concentrated customer base in a highly competitive market, partially offset by CSG's recurring revenue base and moderate, but predictable, earnings and cash flow.

© 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.