S&P revises Genesis Energy recovery rating

S&P said it revised its recovery estimate on Genesis Energy LP's senior unsecured notes to 3 from 4, indicating an expectation for meaningful (50%-70%; rounded estimate: 50%) recovery in default. The company also announced an add-on to this debt tranche.

“This change was driven by the change in the company's capital structure as the company recently reduced their unrated revolving credit commitment to $650 million from $1.7 billion and also issued a $300 million term loan A (unrated). The partnership intends to use the net proceeds from the $200 million add-on to pay down outstanding borrowings on its revolving credit facility,” S&P said in a press release.

The B+ ratings on the notes and Genesis are unchanged, 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.