S&P rates Enjoy notes B-

S&P said it assigned a B- corporate credit rating to Enjoy SA.

The agency also said it assigned a B- rating to the company's $300 million senior secured notes due 2022.

The outlook is positive.

The proceeds will be used for Enjoy's acquisition of the remaining 55% stake in Baluma and to refinance most its debt, S&P said.

S&P said it believes that investors in Enjoy's senior secured notes don't face a significant disadvantage as creditors of the holding company because the notes will be guaranteed by operating subsidiaries and because debt will be secured by real estate and shares from subsidiaries.

The ratings also reflect the company's solid market position in Chile and Uruguay, the agency said.

The ratings are constrained by the company's high leverage with a debt-to-EBITDA ratio of close to 5x, S&P 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.