| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers H > Headlines for Holland & Barrett > News item |
S&P cuts Holland & Barrett
S&P said it downgraded L1R HB Finance Ltd., the parent of Holland & Barrett, and its £825 million-equivalent term loan facilities to CCC+ from B-. The recovery rating on these facilities is unchanged at 4 indicating an estimated recovery of about 45% in default.
The company reported weaker-than-anticipated results in the fiscal year 2021 (ending Sept. 30, 2021) and early 2022, a trend expected to continue through 2022 due to current high inflationary pressures and lower customer spending, the agency said.
“H&B's S&P Global Ratings-adjusted leverage is expected to remain elevated at approximately 7x at year-end 2022, and EBITDAR interest coverage (EBITDAR) over leases and interest expenses) below 1.5x. Its current capital structure includes a senior secured credit facility comprising £825 million of term loan B (TLB) maturing in August 2024 and a £75 million RCF maturing in August 2023, which the group is currently using to meet its liquidity needs,” S&P said in a press release.
The outlook is negative.
© 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.