| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers L > Headlines for LSFX Flavum Holdco, SL > News item |
Moody’s: Esmalglass-Itaca, facilities B1
Moody's Investors Service said it assigned a B1 corporate family rating and a B1-PD probability of default rating to LSFX Flavum Holdco, SL, an intermediate holding company of Esmalglass-Itaca Group.
The agency also assigned provisional B1 instrument ratings to the proposed €375 million senior secured term loan B maturing 2024 and €60 million senior secured revolving credit facility maturing 2024, to be raised by LSFX Flavum Bidco, SL, a direct subsidiary of LSFX Flavum Holdco.
The outlook on all ratings is negative.
Proceeds from the new term loan B will be used to finance the group's acquisition by funds controlled by private equity firm Lone Star Funds, to refinance existing debt and pay transaction fees and expenses. Moody's anticipates that the indirect cash contribution from the new shareholder will be in the form of common equity.
Concurrently, Moody's said it withdrew the B1 corporate family rating and the B2-PD probability of default rating assigned to Pigments II BV.
The existing instrument ratings on the €250 million senior secured term loan maturing 2022, the €40 million senior secured revolver and the €15 million senior secured acquisition facilities, both maturing 2021, raised by Pigments II, are unchanged. The agency expects the outstanding loans to be repaid upon closing of the acquisition and to withdraw the instrument ratings upon repayment.
Moody’s said the assigned B1 corporate family rating with a negative outlook reflects the increase in Esmalglass-Itaca’s debt following the proposed refinancing, which results in an expected leverage of around 5 times Moody's-adjusted debt/EBITDA at year-end 2017.
© 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.