S&P affirms Renaissance Learning

S&P said it affirmed its issue level ratings on Renaissance Learning Inc. following the company's announced acquisition of myON LLC.

The agency affirmed the B- issue-level and 3 recovery ratings on the first-lien term loan. The 3 recovery rating indicates an expectation of meaningful (50%-70%; rounded estimate: 65%) recovery for first-lien debt holders in the event of default.

S&P also affirmed the CCC issue-level and 6 recovery ratings on the second-lien debt. The 6 recovery rating indicates an expectation of negligible (0%-10%; rounded estimate: 0%) recovery.

The corporate credit rating of B- is unchanged.

The acquisition will be debt-funded, with $135 million added to the existing first-lien term loan due in 2021 and $55 million added to the existing second-lien term loan due in 2022.

“The acquisition of myON will add depth to Renaissance's reading instructional solutions segment, complementing the digital library and adding additional assessment and reporting capabilities,” the agency said 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.