S&P rates USI loan B

S&P said it assigned its B debt rating to USI Inc.'s proposed $150 million first-lien term loan due 2026. The agency also assigned a 3 recovery rating, indicating an expectation of meaningful recovery (50%) in the event of payment default.

“We rate the existing first-lien term loan B with a recovery rating of 3 (50%), which indicates our expectation for meaningful recovery in the event of a default and the senior unsecured notes CCC+ with a recovery rating of 6, which indicates our expectation for negligible recovery (0%) in the event of a default,” the agency said in a press release.

S&P said it expects the new first-lien term loan to have terms and pricing identical to the company's existing term loans.

The proceeds and cash from equity (about $125 million) issued to the company's financial sponsor will be used to acquire regional employee benefits and retail insurance brokerage firm Associated Benefits and Risk Consulting.

© 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.