S&P assigns B to Vincent Topco loans

S&P said it assigned a preliminary B rating with a 3 recovery rating to Vincent Topco BV’s planned €522 million of new credit facilities via its subsidiary Vincent Bidco BV (NL) to finance the deal, including a €110 million multi-currency revolving credit facility, a €320 million first-lien term loan and a €92 million second-lien term loan.

Proceeds will be used by Bridgepoint, a private equity investor, to buy a majority stake in Vermaat from Partners Group.

S&P also assigned preliminary B ratings to Vincent Topco and Vincent Bidco.

“In our view, Vermaat’s business risk profile is supported by its sustained leading market position as a premium catering and hospitality provider across a number of end markets. This is supported by its strong customer relationships with high renewal rates but constrained by its smaller scale compared with peers, geographical concentration in the Netherlands, and supplier concentration, with Sligro providing more than 50% of purchases. The company is one of the largest premium catering companies in the Netherlands and almost three times the size of its next competitor,” said S&P in a press release.

The outlook is stable.

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