Fitch cuts Aruba Investments, gives notes CCC

Fitch Ratings said it downgraded Aruba Investments, Inc.'s (Angus Chemical Co.) long-term issuer default rating to B from B+, first-lien secured revolver and term loans to BB-/RR2 from BB/RR2 and second-lien term loan to CCC+/RR6 from B-/RR6.

The agency also assigned Aruba's new five-year $200 million unsecured HoldCo notes CCC/RR6 ratings. The notes’ ratings following the company's announcement it plans to raise $100 million in new secured debt and $200 million in new unsecured HoldCo notes to fund a $300 million distribution to shareholders.

Fitch also gave Kobe US Midco 2, Inc. (HoldCo), the holder of the new notes a B- IDR.

“The downgrade reflects the addition of $300 million in new debt to the company's already highly levered capital structure,” the agency said in a press release.

© 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.