S&P: RPI Finance unchanged

Standard & Poor's said all of the ratings on RPI Finance Trust, including its BBB- corporate credit rating, remain unchanged following news that the company will upsize its existing $600 million term loan B due Nov. 9, 2018 by up to $150 million.

The proceeds from the upsized term loan will be used for general corporate purposes.

The company's pro forma leverage increases slightly to about 3.7x, S&P said, and remains within expectations that leverage will be sustained at 4x or less.

The ratings reflect its satisfactory business risk profile, shown by management's solid track record in conducting acquisitions that have resulted in a diverse, high-quality portfolio of royalty-generating pharmaceutical assets with promising sales growth prospects, S&P said.

The company's significant financial risk profile reflects a belief that the company will continue its aggressive acquisition pace, but maintain a financial policy that keeps leverage at no more than 4x, the agency said.

© 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.