S&P rates Eros International B+

S&P said it assigned a B+ preliminary long-term issuer credit rating to Eros International plc.

The rating is predicated on the company's refinancing of its upcoming maturities and other high-cost borrowings through its proposed senior unsecured notes of up to $250 million.

Eros International has a leading presence in the Indian film entertainment market, which is smaller and more fragmented than the English-language entertainment industry, S&P said.

The company also has high leverage, the agency said.

The company's fast growing Eros Now digital streaming services with a recurring revenue profile should support its credit profile, S&P said.

The stable outlook reflects an expectation that Eros's adequate liquidity post-refinancing and increasing share of recurring revenue from Eros Now will temper the impact of volatile operating cash flows and content spending over the next 12- to 24-months, the agency said.

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