Moody’s rates Concrete Pumping loan B2

Moody's Investors Service said it assigned a B2 corporate family rating and a B2-PD probability of default rating to Concrete Pumping Holdings, Inc.

At the same time, Moody's assigned a B2 rating to the company's proposed $350 million senior secured first-lien term loan maturing 2025.

The outlook is stable.

On Sept. 7, Industrea Acquisition Corp. announced that it entered into a definitive agreement to acquire Concrete Pumping Holdings, an indirect parent of Brundage-Bone Concrete Pumping, Inc.

Proceeds from the $350 million senior secured first-lien term loan, in combination with Industrea cash-on-hand and additional common and preferred equity contributions from Argand Partners, management and other investors, will be used to finance the leveraged buyout and repay existing debt.

“The B2 corporate family rating reflects CPH's market position, multi-regional footprint, sound margins and moderate debt, offset by the company's small size, exposure to cyclical construction end markets, and integration risks associated with acquisitions,” the agency said in a news release.

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