Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers S > Headlines for SunGard Data Systems Inc. > News item |
Moody's: SunGard notes Caa1
Moody's Investors Service said it assigned a Caa1 rating to SunGard Data Systems Inc.'s proposed $500 million seven-year senior subordinated notes.
All other ratings, including the B2 corporate family rating and the stable outlook remain unchanged.
Proceeds from these notes are expected to repay a portion of the existing $1 billion senior subordinated notes due August 2015.
The B2 corporate family rating reflects the expectation that SunGard's financial leverage will likely remain high through 2013.
SunGard reduced leverage earlier this year with the completion of the sale of its higher education business, in which net proceeds of $1.22 billion were used to repay some of its senior secured credit facility term loans.
While credit positive, the sustainability of SunGard's cash flow after the sale of the higher education business remains in question due to the underperformance of the availability services business relative to the financial systems business.
© 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.