Moody's rates MagnaChip loan Ba2, notes Ba3, B2

Moody's Investors Service said it assigned its Ba3 senior implied rating to MagnaChip LLC. The outlook is stable.

At the same time, Moody's assigned a Ba2 rating to the $100 million five-year senior secured credit revolver, Ba3 to the $500 million floating- and fixed-rate second-priority senior secured notes due 2011 and B2 to the $250 million senior subordinated notes due 2014 to be issued by MagnaChip Semiconductor Finance Co. and MagnaChip Semiconductor SA.

Moody's said the Ba2 rating for the secured credit revolver reflects its first lien on all assets pledged and its priority of claims over the notes.

The B2 rating for the senior subordinated notes reflects its subordinated status in the capital structure and the absence of guarantee from MagnaChip Semiconductor Ltd (Korea), which represents around 50% of consolidated sales and 99% of assets, according to Moody's.

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