S&P rates Centene notes BB+

S&P said it assigned its BB+ debt rating to Centene Corp.'s proposed senior notes maturing 2026.

The company intends to use the net proceeds to finance a portion of the previously announced acquisition of Fidelis Care New York, to pay related fees and expenses and for general corporate purposes, including the repayment of outstanding debt.

Centene has also recently raised about $2.8 billion in common stock to fund a portion of the Fidelis transaction.

The proposed senior notes will initially be issued by Centene Escrow I Corp.

Upon the completion of the Fidelis acquisition, Centene Escrow will merge with and into Centene, with Centene assuming the obligations of the notes.

S&P said the rating on the notes is directly linked to Centene's credit quality.

© 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.