Moody's: iEnergizer loan B2

Moody's Investors Service said it assigned a definitive B2 corporate family rating to iEnergizer Ltd., along with a definitive B2 foreign-currency rating to the $135 million senior secured term loan drawn by iEnergizer and Aptara, Inc., its wholly owned subsidiary.

The outlook is stable and all ratings are affirmed.

Moody's said it removed the provisional status of the corporate family rating and senior secured rating, which were originally assigned in February.

The proceeds from the issue of the term loan are being used to refinance a $20 million shareholder loan and a $114.5 million low-cost loan from a third party.

The stable outlook reflects expectations that iEnergizer's business model remains consistent, Moody's said, and that the company will keep an organic bias to its expansion.

"While we see the attractiveness of iEnegizer's broad offering in content transformation solutions, we nevertheless expect overall adjusted EBITDA margins to decline slightly over time toward the low 20% range as a result of competitive pressures and additional costs as the business grows," said Alan Greene, a Moody's analyst.

Given size and leverage constraints, there is very limited upside potential for the ratings, the agency added.

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