S&P: Knology loan B+

Standard & Poor's said it assigned a B+ rating to Knology Inc.'s amended and restated $790 million senior secured credit facility. The recovery rating is 3, indicating 50% to 70% recovery in a default.

This credit facility amends and restates the term loans to improve pricing, extend maturities and increase the size of the term loan A by $20 million, the agency said.

The amended credit facility consists of a $545 million term loan B due 2017, a $195 million term loan A due 2016 and a $50 million revolver due 2016, the agency said.

The outlook is stable.

The rating and outlook are not affected by the additional debt, which Knology intends to use to fund two small acquisitions, S&P said.

While relatively small, the latest acquisitions have a minimal deleveraging effect with the total debt-to-EBITDA ratio at about 4.2 times as of Dec. 31, which remains consistent with the rating, the agency said.

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