S&P: Allegion unchanged

Standard & Poor's said the BBB and BB+ ratings on Allegion U.S. Holding Co., a subsidiary of Allegion plc, remain unchanged following the company's decision to upsize its term loan B by $200 million and reduce the proposed senior unsecured notes by the same amount.

These changes will increase the size of the company's term loan B to $500 million from $300 million while the proposed senior unsecured notes will be reduced to $300 million from the originally expected $500 million.

Allegion's proposed senior secured revolving credit facility due 2018, term loan A due 2018 and term loan B due 2020 have a BBB rating with recovery ratings of 1. The company's proposed senior unsecured notes due 2021 have a BB+ rating with a recovery rating of 3.

Allegion plc has a corporate credit rating of BB+ and a stable outlook.

The ratings reflect the company's significant financial risk profile and satisfactory business risk profile, S&P said.

Pro forma for the transaction, the agency said it expects an adjusted leverage of between 3x and 3.5x, the agency said.

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