S&P rates United Surgical notes CCC+

Standard & Poor's said it assigned a CCC+ rating to United Surgical Partners International Inc.'s new $440 million senior unsecured notes due 2020.

The rating is two notches lower than its B corporate credit rating.

The agency also said it assigned a recovery rating of 6 to the notes, indicating 0% to 10% expected recovery in a default.

The proceeds, in addition to its new senior secured credit facility, will be used as part of the refinancing of its capital structure and payment of a $270 million dividend to shareholders.

The ratings reflect what is considered its highly leveraged financial risk profile and weak business risk profile, S&P said.

The company's adjusted leverage is expected to remain above 8x over the next few years because of the cumulative dividend of the preferred stock, the agency said.

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