S&P cuts Interactive Data & Igloo, rates debt B+

Standard & Poor's said it lowered its corporate credit rating on Interactive Data Corp. and parent company Igloo Holdings Corp. to B from B+.

The outlook is stable.

The agency assigned the proposed bank debt a B+ issue-level rating with a recovery rating of 2, indicating an expectation for substantial (70% to 90%) recovery for debtholders in the event of a payment default.

At the same time, S&P lowered the issue-level ratings on the company's existing debt by one notch, in conjunction with the downgrade. Recovery ratings on the company's existing debt issues remain unchanged.

The agency said the corporate credit rating reflects its expectation that Igloo's appetite for financial risk will remain aggressive and that consolidated debt leverage will remain high, in the low- to mid-7x area over the next year. S&P regards Igloo as having a "satisfactory" business risk profile (based on criteria), characterized by its leading position in securities pricing data and analytics, benefiting from somewhat high barriers to entry and a diversified client base.

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