S&P gives Sovos facilities B

S&P said it assigned B issue-level and 3 recovery ratings to Sovos Brands Intermediate Inc.’s proposed senior secured credit facilities.

Sovos plans to acquire Birch Benders and refinance debt.

The agency also upgraded Sovos and its outstanding senior secured facilities to B from B-. The recovery rating is 3 (50%-70%; rounded estimate: 55%). “The company's year-to-date performance has been better than we expected, and it continues to increase its EBITDA and free operating cash flow (FOCF), which will enable it to materially reduce its leverage despite the acquisition,” S&P said in a press release.

The outlook is stable.

© 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.