S&P gives Entravision loan B+

Standard & Poor's said it assigned its B+ rating and a recovery rating of 3 to Entravision Communications Corp.'s proposed $650 million senior secured credit facility.

At the same time, S&P said it affirmed its ratings, including its B+ corporate credit rating, on Entravision. The outlook is stable.

The agency said the rating on Entravision reflects its high leverage, lower EBITDA margin compared with peers, intensifying Spanish-language media competition and the potential for debt-financed acquisitions or share repurchases that could weigh on its credit profile.

These factors are only partially offset by Entravision's long-term strategic relationship with shareholder Univision Communications Inc., broadcasting's good margin potential and discretionary cash flow generating capabilities and resilient station asset values, S&P added.

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