Moody's assigns AMI I loan B2

Moody's Investors Service said it assigned a B2 rating to the prospective $550 million term loan of AMI I, LLC (Associated Materials) and a B2 corporate family rating and B2-PD probability of default rating to Associated Materials.

Strategic Value Partners plans to use the term loan and $430 million in new equity to acquire Associated Materials. The company’s outstanding debt will be repaid at closing. Once the deal closes and the debt is repaid, Moody’s said it will withdraw all its Associated Materials LLC ratings.

"The B2 CFR considers Associated Materials' national presence, broad customer and channel diversity, strong product demand and modest leverage, offset by a weak EBITA margin profile relative to peers and exposure to the more volatile new housing construction sector," said Griselda Bisono, a vice president and senior analyst at Moody's, 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.