S&P gives BB+ to CACI loans

S&P said it assigned its BB+ issue-level rating and 3 recovery rating to CACI International Inc.'s proposed senior secured credit facility, which comprises a $1 billion revolver due 2023 and a $938 million term loan A-3 due 2023. The 3 recovery rating indicates an expectation for meaningful (50%-70%; rounded estimate: 55%) recovery in a default scenario.

All of the other ratings remain unchanged.

CACI plans to use the proceeds from the new term loan to refinance its outstanding $672 million term loan A-1 due 2020 and $266 million term loan A-2 due 2020. The refinancing transaction will extend their maturities from 2020 to 2023 and provide CACI with more favorable pricing.

“We do not believe that the refinancing will significantly alter the company's credit metrics,” S&P said in a news release.

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