S&P rates SpectaGuard facility B+

Standard & Poor's said it assigned its B+ rating to SpectaGuard Acquisition LLC's proposed supplemental senior secured credit facilities of up to $55 million. S&P also affirmed its B+ corporate credit and senior secured bank loan ratings on SpectaGuard.

The outlook is stable.

Proceeds of the new facilities, along with $15 million of incremental subordinated notes and $12 million of new common equity, will be used to finance the company's recently announced acquisition of Professional Services Bureau and the potential acquisitions of two other security services companies.

S&P said the speculative-grade ratings on SpectaGuard reflect its narrow business focus, limited size, and leveraged financial profile. Somewhat offsetting these factors are the industry's favorable growth prospects and the company's fairly stable cash flows and modest capital expenditure requirements.

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