Moody’s rates Boyne, notes B2

Moody's Investors Service said it assigned ratings for Boyne USA, Inc. (Boyne Resorts), including a corporate family rating and probability of default rating of B2 and B2-PD, respectively.

At the same time, Moody's assigned a B2 rating to the company's $400 million of newly proposed senior secured second-lien notes.

The outlook is stable.

"Boyne's refinancing of a portion of its existing debt with anticipated proceeds from the notes offering will be cash flow accretive for the company going forward by lowering its expected cost of capital," Moody’s vice president and lead analyst Brian Silver said in a news release.

"The debt offering will also be used to fund the acquisition of seven resorts and attractions that the company had been operating under leasehold arrangements for ten or more years, which effectively removes the otherwise normal course potential for integration risk."

© 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.