Moody's assigns AdaptHealth notes B1

Moody's Investors Service said it assigned a B1 rating to AdaptHealth, LLC's expected offering of $550 million senior unsecured notes due 2030. There are no changes the AdaptHealth 's ratings including its Ba3 corporate family rating, Ba3-PD probability of default rating and its SGL-1 speculative grade liquidity rating.

AdaptHealth will use the proceeds to repay the company's unrated note payable to Blue Mountain of about $81 million, to repay amounts outstanding under the revolving credit facility of about $255 million, to pay fees and expenses as well as general corporate purposes which may include future acquisitions and other investments.

“While initially a modestly leveraging transaction, Moody's expects leverage will improve largely as cash proceeds are used to fund moderate 'tuck in' acquisitions,” the agency said in a press release.

The negative outlook is also unchanged.

© 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.