S&P rates IES Global loan B+

Standard & Poor's said it assigned its B+ corporate credit rating to IES Global BV (doing business as International Equipment Solutions LLC).

The outlook is stable.

At the same time, S&P assigned its B+ issue-level rating to the company's proposed $270 million first-lien term loan. The recovery rating on this debt is 4, which indicates the expectation of average (30%-50%) recovery in the event of a payment default.

"The ratings on IES reflect our assessment of the company's 'weak' business risk profile and 'aggressive' financial risk profile," S&P credit analyst Svetlana Olsha said in a news release.

The assessment of IES' business risk reflects the company's narrow scope of operations within the off-highway equipment industry, its high degree of cyclical exposure and its short track record operating as a combined entity.

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