S&P assigns B to Capital Safety credit facilities

Standard & Poor's said it assigned its preliminary B long-term corporate credit rating to Capital Safety Group. The outlook is stable.

At the same time, the agency said it assigned its preliminary B issue-level rating to the company's $420 million proposed senior secured credit facilities, which comprise a $375 million senior secured term loan and a $45 million revolver. The preliminary recovery rating on the senior secured credit facilities is 3, which indicates an expectation of meaningful recovery in the event of a payment default.

"We believe Capital Safety's business profile will remain weak because of its narrow focus in a niche market, which is a subset of the competitive and fragmented personal protection equipment industry," said S&P credit analyst John Sico in a news release. "This limits the company's scale of operations."

© 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.