Moody’s reviews SS&C

Moody's Investors Service said it placed the ratings of SS&C Technologies, Inc. under review for downgrade following SS&C's announcement that it plans to acquire Advent Software, Inc. for about $2.7 billion in cash, including assumption of debt.

The acquisition is subject to regulatory approvals and is expected to close in the second quarter of 2015.

SS&C plans to fund the acquisition and refinance roughly $600 million of its existing debt with $3 billion of new debt, cash on hand and $400 million of proceeds from an equity offering.

Moody's estimates that SS&C's total debt to EBITDA will increase from 2.2 times to about 6.8 times (including Moody's standard analytical adjustments) at the close of the acquisition, before including cost synergies of about $45 million.

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