S&P ups EnergySolutions, rates facilities B

S&P said it raised its corporate credit rating on EnergySolutions Inc. to B from B-. The outlook is stable.

At the same time, the agency assigned a B issue-level rating and 3 recovery rating to the company's proposed senior secured facilities, which will comprise a $150 revolving credit facility maturing in 2023 and a $575 million term loan maturing in 2025.

The 3 recovery rating reflects an expectation of meaningful (50%-70%; rounded estimate: 55%) recovery prospects for the lenders in the event of a payment default.

S&P said it raised the issue-level ratings on the company's existing credit facilities by one notch to B- in conjunction with the upgrade to the corporate credit rating but will withdraw the ratings after the debt is repaid.

“The upgrade reflects the company's improved credit measures, which is a result of consistently good operating performance over the past 12 months as well as debt repayment in 2017,” the agency said in a news release.

© 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.