S&P rates Coke notes A+

S&P said it gave its A+ issue-level rating to Coca-Cola Co.’s upcoming dollar-denominated senior unsecured notes due in 2028, 2031 and 2051, final amounts to be determined. The group’s parent will sell the notes, which will rank equally with its senior unsecured debt.

The company intends to use the proceeds with cash on hand, if necessary, to purchase the dollar-denominated notes tendered under the recently announced tender offers. Coke also offered euro-denominated notes under a separate prospectus supplement with cash on hand, if necessary, to purchase the euro-denominated notes tendered under the tender offers and, if applicable, repay the company’s euro-denominated floating-rate notes due in 2021. Neither offering is conditioned on the completion of the other.

“We view this entire transaction as roughly leverage-neutral. All our ratings on the company, including our A+ long-term issuer credit rating, are unchanged,” S&P said.

The outlook is negative.

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