DBRS: Golf Town notes at B

DBRS said it has assigned an issuer rating of B (high) and a provisional rating of B (low), both with stable trends, on the proposed new senior secured second-lien notes to be jointly issued by Golf Town Canada Inc. and Golfsmith International Holdings, Inc.

The recovery rating is RR6.

The agency said that Golf Town USA Holdings Inc., Golfsmith and Major Merger Sub, Inc. announced on May that they had signed a merger agreement.

The ratings reflect the cyclical and competitive nature of the golf retail business, and risks surrounding longer-term profitability and growth, 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.