S&P rates Diamond Resorts notes CCC+

S&P said it assigned its CCC+ issue-level rating and 6 recovery rating to Dakota Merger Sub Inc.'s proposed $600 million senior unsecured notes due 2024.

The 6 recovery rating reflects an expectation for negligible recovery (0%-10%) of principal for lenders in the event of a payment default.

The issue-level rating is two notches below parent company Diamond Resorts International Inc.’s B corporate credit rating.

Diamond expects to use the proceeds, along with its previously announced $1.3 billion senior secured credit facility and a $1 billion sponsor equity contribution, to help fund its $2.2 billion acquisition by affiliates of funds managed by Apollo Global Management LLC.

© 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.