S&P: Onex Wizard loan B+, B-

Standard & Poor’s said it assigned a B+ long-term corporate credit rating to Onex Wizard Acquisition Co. II SCA.

Onex Wizard is the holding company for SIG Combibloc.

The agency also said it assigned a B+ rating to the company’s senior secured €300 million revolving credit facility and its €2.13 million equivalent senior secured term loan facilities. The recovery rating on these facilities is 3.

S&P also said it assigned a B- rating to the €675 million senior unsecured notes. The recovery rating on the unsecured notes is 6.

These ratings are in line with the preliminary ratings assigned in January.

The outlook is stable.

The ratings reflect SIG Combibloc’s satisfactory business risk profile and highly leveraged financial risk profile, the agency said.

The ratings also consider the company’s strong market position as the world’s second-largest aseptic-carton packaging supplier in a capital-intensive industry that has high barriers to entry, S&P said.

SIG Combibloc has a proven business model; a differentiated offering compared with competitors; and embedded operations with long-standing customers and long-term contracts with a diverse client base, the agency said.

But, the company exhibits relatively limited product diversity and scope of operations compared with some of its packaging peers, S&P added.

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