S&P puts Syniverse on positive watch

S&P said it placed its ratings for Syniverse Holdings Inc. on CreditWatch with positive implications.

Syniverse reported it entered into a definitive agreement with Twilio Inc. to receive up to a $750 million cash investment in concurrence with other planned equity and debt financing transactions.

“The company will use proceeds along with additional financings primarily to repay existing debt and pay related fees and expenses as part of a planned refinancing of its capital structure. We believe these transactions, if consummated, could eliminate a substantial portion of Syniverse’s debt, significantly reduce leverage, and improve its liquidity position, likely resulting in a one-notch upgrade,” S&P said in a press release.

The agency said it aims to resolve the CreditWatch on the transaction’s close when it has a better picture of Syniverse’s pro forma capital structure.

© 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.