S&P cuts Insight loans

Standard & Poor's said it affirmed its B corporate credit rating on Insight Pharmaceuticals LLC. The outlook is negative.

At the same time, the agency said it lowered its issue-level ratings on Insight's $20 million first-lien revolving credit facility due 2016 and its upsized $290 million first-lien senior secured term loan facility due 2016 to B from B+. The agency also said it lowered its recovery ratings to 3 from 2, which indicates an expectation for meaningful recovery for first-lien lenders in the event of a payment default.

According to S&P, Insight Pharmaceuticals is increasing its first-lien secured term loan to $290 million and reducing its second-lien secured term loan to $112 million.

"We believe the increased size of the company's first-lien secured debt reduces the recovery prospects for these lenders in a simulated default scenario," said S&P credit analyst Brian Milligan in a news release.

© 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.