S&P assigns B to Cook & Boardman loan

S&P said it assigned its B issuer credit rating to the Cook & Boardman Group, LLC. The outlook is stable.

S&P also assigned a B issue-level rating (the same as the issuer credit rating) and 3 recovery rating to Cook & Boardman's proposed $212 million senior secured first-lien term loan due in 2025. The 3 recovery rating indicates an expectation for meaningful (50%-70%; rounded estimate: 60%) recovery to lenders in the event of a default.

The company will issue a $40 million ABL credit facility, which S&P does not rate.

“The B rating reflects Cook & Boardman's narrow product and geographical presence as the leading specialty distributor of commercial door entry solutions, with sales limited to the Southeast and Mid-Atlantic portions of the United States. While the company is more than twice as large as its nearest competitor, its market share is limited at less than 5%,” S&P said in a news release.

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