Moody’s gives Baa3 to Delphi notes

Moody's Investors Service said it assigned a Baa3 rating to Delphi Automotive plc's new $1.3 billion of senior unsecured notes.

Net proceeds, along with cash on hand, are expected to be used to fund Delphi Automotive's previously announced offer to acquire HellermannTyton Group plc, and pay related fees and expenses.

The acquisition is expected to close in the fourth quarter of 2015.

In a related action, Moody's affirmed the Baa3 senior unsecured ratings.

The outlook remains positive.

Delphi Automotive's $1.3 billion of senior unsecured notes will share the same guarantees as Delphi Corp.’s existing senior unsecured notes and the bank credit facility and in addition will have a guarantee from Delphi Corp.

As a result, the agency deems the new debt at Delphi Automotive to be pari passu with Delphi Corp.’s existing senior unsecured notes and credit facility. Delphi Corp. is an indirect wholly owned subsidiary of the parent company, Delphi Automotive.

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