S&P moves High Liner view to positive

S&P said it revised its outlook for High Liner Foods Inc. to positive from stable and affirmed the B issuer credit rating on the company and the B+ issue-level rating on High Liner's senior secured term loan B. The 2 recovery rating on the debt is unchanged, indicating substantial (70%-90%; rounded estimate: 70%) recovery in default.

“High Liner's operating performance remains resilient amid macroeconomic uncertainties, underpinned by continued demand for the company's frozen seafood products. The positive outlook reflects our favorable view of High Liner's strong operating performance. Increased consumer mobility bodes well for the company through 2022. As a result, High Liner's revenues and EBITDA for the last 12 months (LTM) to Sept. 30, 2022, increased materially compared with the same period last year and almost 30% compared with 2019,” S&P said in a press release.

The agency said it estimates High Liner will maintain a debt-to-EBITDA ratio in the 3.5x-4x range through fiscal 2023, which is consistent with its thresholds for an upgrade.

© 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.