S&P rates Activant floaters B+

Standard & Poor's said it assigned its B+ debt rating to Activant Solutions Inc.'s new $120 million senior unsecured floating-rate notes and affirmed its B+ corporate credit and senior unsecured debt ratings.

The proposed floating-rate notes are rated the same as the corporate credit rating, because of the minimal amount of secured debt, a $15 million revolving credit facility, in the capital structure. Proceeds from the new floaters will primarily be used to fund the acquisition of Speedware Corp., which was announced in January.

The outlook is stable.

S&P said the ratings on Activant reflect its narrow business profile and limited financial flexibility, partly offset by a leading position in its addressed niche markets and a significant amount of recurring revenue.

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