Alderwoods Group to hold bank meeting July 26 week for existing lenders

By Sara Rosenberg

New York, July 23 - Alderwoods Group Inc. is expected to hold a bank meeting during the July 26 week for existing lenders, with the meeting possibly scheduled for Thursday, according to a market source.

Bank of America is the lead bank on the deal.

The company said in a news release Friday that it was negotiating additional term loan borrowings under amendments to the senior secured credit facility with proceeds, along with a proposed $200 million bond sale and available cash, earmarked for the repurchase of its outstanding 12¼% senior notes due 2009 and the repayment of all outstanding borrowings under its subordinated loan due 2005.

Standard & Poor's assigned its BB- senior secured bank loan rating and its 1 recovery rating to "Alderwoods' proposed $75 million revolving credit facility which matures in 2008 and to its proposed term loan B which matures in 2009," the rating agency said.

"The existing term loan had $242 million outstanding at March 27, but will be increased in size. The bank loan ratings indicate that Standard & Poor's expects a full recovery of principal in the event of a default, based on an assessment of the loan collateral package and estimated asset values in a distressed default scenario," S&P added.

No further details on the bank meeting or the amendment were available prior to press time.

Alderwoods is a Cincinnati funeral home and cemetery operator.

© 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.