Moody's: ABB/Con-Cise loan B2

Moody's Investors Service said it assigned a B2 rating to ABB/Con-Cise Optical Group LLC's proposed first-lien senior secured credit facilities, including a $260 million senior secured term loan B and a $70 million senior secured revolver.

The proceeds from the senior secured credit facilities will be used, along with an additional equity contribution by financial sponsor, New Mountain Capital, to finance the acquisition of Optical Distributor Group LLC, refinance existing debt and pay transaction fees and expenses.

Moody's also said it affirmed ABB Concise's B2 corporate family rating and B3-PD probability of default rating.

The outlook is stable.

The ratings reflect the company's significant common equity contribution by New Mountain, the agency said.

The ratings also consider the company's small absolute size based on revenue and earnings, relatively high financial leverage, weak cash flow coverage of debt and limited business-line and supplier diversity, Moody's said.

The ratings benefit from its leading scale and market position among U.S. distributors of soft contact lenses, further strengthened by the acquisition of Optical Distributor, the agency said.

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