Moody’s assigns Axiall loan Ba1

Moody's Investors Service said it assigned a Ba1 rating to Axiall Corp.’s proposed $250 million senior secured bank credit facility, or term loan B, due 2022.

Proceeds will be used to refinance the existing senior secured bank credit facility currently due in 2017. The existing term loan was issued by Eagle Spinco Inc., a wholly owned subsidiary of Axiall. Proceeds will also be used to pay transaction fees and expenses, and for general corporate purposes.

Axiall Holdco, Inc., also a wholly owned subsidiary of Axiall, will be the issuer of the new senior secured bank credit facility.

The outlook continues to be stable.

"Despite our stable outlook, Axiall is currently weakly positioned in the Ba-rating category. The company's profitability suffered in 2014 due to weak caustic soda prices, and elevated ethylene and natural gas prices; additionally, Axiall's chloro-vinyls business suffered significantly in 2014 due to a December 2013 plant fire," Anthony Hill, Moody's vice president, senior credit officer and lead analyst for Axiall, said in a news release.

© 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.