S&P: Infor B; Lawson loans B+, notes B-

Standard & Poor's said it assigned its preliminary B corporate credit rating to Infor Enterprise Applications Ltd. following the merger of GGC Software Holdings LLC, also known as Lawson Software Inc., and Infor Global Holdings Solutions Ltd. The outlook is stable.

The agency said it also assigned a preliminary B+ issue-level rating and preliminary 2 recovery rating to Lawson's $3.5 billion senior secured term loans, consisting of a $3.1 billion six-year term loan and a $400 million four-and-a-half-year term loan.

In addition, the agency said it assigned a preliminary B- rating and preliminary 5 recovery rating to Lawson's $1.15 billion seven-year senior unsecured notes. Lawson's existing $560 million senior unsecured notes will remain outstanding.

According to S&P, the new entity intends to use the newly issued debt, along with approximately $550 million of new sponsor equity, $213 million of cash on hand, $375 million of amended & extended Infor payment-in-kind notes and rolled equity from Infor and Lawson shareholders to merge the two companies and to refinance existing debt.

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