S&P affirms Sovran on acquisition

S&P said it affirmed its BBB corporate credit and issue-level ratings on Sovran Self Storage Inc. following the company’s announced plans to acquire another storage company for $1.3 billion, which it will finance with about equal amounts of debt and equity.

The outlook is stable.

S&P said the affirmation reflects its view that the acquisition will result in meaningful improvement in scale and portfolio quality, even though Sovran's credit protection measures will weaken modestly given the incremental debt from the transaction.

© 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.