Moody's assigns DuBois loan B2

Moody's Investors Service said it assigned a B2 rating to DCG Acquisition Corp.'s (DuBois Chemicals, Inc.) $90 million planned non-fungible term loan add-on.

The B3 corporate family rating, B3-PD probability of default rating, B2 first-lien senior secured credit facility and Caa2 second-lien term loan are unchanged.

The proceeds will be used to redeem the company's privately placed first-lien secured notes, repay outstanding borrowings on the revolving credit facility, add cash to the balance sheet and pay make-whole costs on the note redemption. The outlook is negative.

"The incremental term loan does not materially increase debt and allows the company to redeem the higher interest rate notes and improve liquidity," said Domenick R. Fumai, a Moody’s vice president and lead analyst for DuBois, in a press release.

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