S&P: CyrusOne unchanged after add-on

Standard & Poor’s said it the rating on CyrusOne Inc.’s senior unsecured debt, including its senior unsecured notes, remains at B+ following news that the company plans to issue a $100 million add-on to its existing 6 3/8% senior unsecured notes due 2022.

The recovery rating on the notes remains at 3, indicating 50% to 70% expected default recovery.

However, given the additional amount of unsecured debt outstanding, the recovery prospects decline to the lower end of the 50% to 70% expected default recovery, S&P said.

The proceeds will be used to partially fund the acquisition of Cervalis LLC, the agency said.

The corporate credit rating on CyrusOne remains at B+ with a stable outlook.

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