Moody’s gives Del Frisco's, loans B3

Moody's Investors Service said it assigned a B3 rating to Del Frisco's Restaurant Group, Inc.'s proposed $292 million senior secured term loan B and $50 million senior secured revolver.

In addition, the agency assigned Del Frisco's a B3 corporate family rating, B3-PD probability of default rating and SGL-3 speculative grade liquidity rating.

The outlook is stable.

Proceeds from the term loan were used in part to fund the acquisition of Barteca Restaurants.

"The B3 corporate family rating reflects Del Frisco's high leverage and modest interest coverage as well as its modest scale and geographic concentration," Bill Fahy, Moody's senior credit officer, said in a news release.

"The ratings also reflect the challenges of stabilizing operating metrics at its core concepts while at the same time divesting its Sullivan's Steakhouse and successfully integrating and growing the acquisition of Barteca."

© 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.