| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers F > Headlines for FXI Holdings, Inc. > News item |
S&P puts FXI Holdings on negative watch
S&P said it placed all of the ratings on FXI Holdings Inc., including the B issuer credit rating, on CreditWatch with negative implications following the announcement that it has signed a definitive agreement to acquire Comfort Holding LLC for approximately $850 million.
“We view the acquisition of a lower-rated company as credit negative for FXI. We anticipate that credit quality at the combined company will likely be weaker than FXI's on a stand-alone basis,” S&P said in a news release.
The rating action follows the company's recent announcement that FXI Holdings has signed a definitive agreement to acquire Comfort Holding for approximately $850 million.
FXI plans to fund the transaction with a mix of cash on the balance sheet and an anticipated $775 million of additional senior secured debt. The company also intends to refinance and upsize its $110 million asset-based loan (ABL) with a new $235 million ABL.
© 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.