S&P revises Paradigm view to stable

S&P said it revised Outcomes Group Holdings’ (Paradigm Corp.) outlook to stable from negative.

“We expect Paradigm's financial leverage to be less strained in 2021 because of EBITDA margin stability (supported by expense management initiatives to compensate for flat revenue growth in 2020), lower debt outstanding, and an improved rate structure. We also expect Paradigm to have a strong unrestricted cash position for full-year 2020 given our expectation for internal cash flow generation combined with relatively modest capital expenditure, debt service, and working capital needs,” S&P said in a press release.

Concurrently, the agency affirmed the B long-term issuer credit rating on Paradigm and B debt rating on its first-lien credit facility. The recovery rating on the company's senior secured facility is 3, indicating expectations for meaningful (55%) recovery in default. S&P also affirmed the CCC+ rating on the second-lien term loan due October 2026. The second-lien term loan’s recovery rating is 6, indicating expectations of negligible (0%) recovery in default.

© 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.