S&P might downgrade Airxcel

S&P said it placed its B corporate credit rating on Airxcel Inc. on CreditWatch with negative implications.

The agency also placed the B issue-level rating on its $279 million of outstanding senior secured notes due 2022 on CreditWatch with negative implications.

S&P said the CreditWatch listing reflects the announcement that Airxcel's owner, One Rock Capital Partners, has entered into an agreement to sell Airxcel to financial sponsor L Catterton, and that the terms of the transaction, the proposed capital structure and the planned financial policy of the new owners are unknown.

“As a result, there is a possibility that incremental debt financing to fund the acquisition could result in higher leverage and a lower corporate credit rating on Airxcel,” the agency said in a news release.

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