Moody's affirms United Rentals, could up RSC

Moody's Investors Service said it affirmed United Rentals (North America), Inc.'s corporate family and probability of default ratings at B2 and its stable outlook following the company's announcement that it has entered into a definitive merger agreement under which United Rentals, Inc. will acquire RSC Holdings, Inc.

In a related action, Moody's placed RSC Holdings III, LLC's B3 corporate family and probability of default ratings under review for possible upgrade to reflect the company's improving operating results and the anticipated operating synergies from the merger.

Moody's said United Rentals' affirmation reflects the view that the combined company will benefit from operational and geographic synergies that are currently estimated to total more than $200 million and that United Rentals is well positioned to acquire RSC given the anticipated synergies between the companies both from an operational and geographic standpoint.

© 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.