Moody's rates Forum Energy notes Ba3

Moody's Investors Service said it assigned a Ba3 rating to Forum Energy Technologies, Inc.'s proposed $300 million senior unsecured notes offering.

Moody's also assigned a Ba2 corporate family rating, a Ba2-PD probability of default rating and a speculative grade liquidity rating of SGL-1.

The outlook is stable.

The proceeds of the notes will be used to repay amounts outstanding under Forum's term loan and revolving credit facility.

"Upon the closing of its proposed senior notes issue, Forum will have more firmly capitalized the company's funding of recent acquisitions, which have provided further growth in size and scale to its oilfield equipment manufacturing and supply operations," Moody's vice president Andrew Brooks said in a news release.

"We believe the company intends to seek additional growth opportunities through the acquisition of complementary businesses, and expect the company's record of conservative financial policies and positive cash flow will continue to prevail."

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