Moody's assigns B1 to WMB, loans

Moody's Investors Service said it assigned a first-time corporate family rating rating of B1 and a probability of default rating of B1-PD to WMB Holdings, Inc. (Corporation Service Co.). The agency also gave B1 instrument ratings to the planned first-lien facilities, which includes a $250 million revolver due 2027, a $1 billion euro-denominated term loan A due 2027 and a $2.35 billion first-lien term loan B due 2029.

The ratings assignments follow the announcement of CSC's planned acquisition of Intertrust NV that is expected to close this year, the agency said.

“CSC is privately owned and has been in the trust and corporate services (T&CS) industry since 1899. Governance factors are considerations in the ratings and include the meaningful increase in leverage resulting from the debt-funded acquisition of Intertrust, track record of moderate financial policies that includes deleveraging and the concentrated ownership and board structure,” Moody’s said in a press release.

The acquisition will be funded with new debt and the proceeds from the facilities will also refinance all debt.

The outlook is stable.

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