S&P rates Royalty Pharma loan BB+

In a corrected rating, Standard & Poor's said it assigned a BB+ rating to Royalty Pharma Finance Trust's proposed $200 million senior unsecured term loan due 2015. In addition, the trust increased the size of its senior secured term loan due 2013 by $100 million, to $2.2 billion, and the agency affirmed the BBB- rating on the loan.

The outlook is stable.

Proceeds will be used to fund the company's future acquisitions.

The agency said Royalty Pharma's BBB- corporate credit rating reflects the company's diverse portfolio of royalty-generating pharmaceutical assets, the solid sales growth prospects of those assets and management's solid track record in conducting acquisitions.

These strengths are partially offset by Royalty Pharma's aggressive acquisition pace and financial policies, S&P said.

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