Moody’s rates Ashtead notes Ba2

Moody’s Investors Service said it assigned a Ba2 instrument rating to the new $600 million second priority senior secured notes due 2026 to be issued by Ashtead Capital, Inc.

The proceeds will be used to repay a portion of the outstanding borrowings under the $3.1 billion first priority senior secured ABL credit facility and pay related issuance costs.

Ashtead Group plc's Ba1 corporate family rating and Ba1-PD probability of default rating and the Ba2 instrument rating on the existing second priority senior secured notes due 2024, 2025 and 2027 issued by Ashtead Capital are unchanged.

The outlook remains stable.

The new notes due 2026, which will rank pari passu with the existing notes, are rated one notch below the corporate family rating, reflecting the size of the ABL facility ranking ahead, Moody’s explained.

The agency said its opinion is that the transaction is supportive for extending the group's debt maturity profile, while simultaneously enhancing its liquidity capacity to support the ongoing capital expenditure and bolt-on acquisitions.

© 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.