Fitch rates Samsonite BB-

Fitch Ratings said it assigned BB- first-time issuer default ratings to Samsonite International SA and Samsonite IP Holdings Sarl. Fitch also gave BB+/RR1 ratings to the company’s $850 million senior secured revolver and Samsonite IP’s senior secured loans. The outlook is negative.

“Samsonite's ratings reflect the company's position as the world's largest travel luggage company, with strong brands and historically good organic growth. The rating also considers the adverse impact on performance since the onset of the pandemic,” Fitch said in a press release.

The agency said it forecasts adjusted leverage to remain elevated, projected at low-6x in 2022 compared to 5x in 2019, gradually nearing the high-4x range, as appropriate for the rating, by 2023.

The outlook mirrors the view that operating results will remain challenged until travel-related spending recovers, the agency said.

© 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.