S&P rates V.Group loans B & CCC+

Standard & Poor's said it assigned its preliminary B long-term corporate credit rating to V.Group.

The outlook is stable.

At the same time, the agency assigned preliminary B issue ratings to V.Group's proposed $260 million first-lien term loan and to its $35 million revolving credit facility. The preliminary recovery ratings on these instruments are 3, indicating an expectation of meaningful (50%-70%) recovery in the event of a payment default.

In addition, S&P assigned a preliminary CCC+ issue rating to the company's proposed $125 million second-lien term loan. The preliminary recovery rating is 6, indicating an expectation of negligible (0%-10%) recovery prospects in the event of a payment default.

S&P said the preliminary ratings on V.Group reflect its assessment of the group's "fair" business risk profile and "highly leveraged" financial risk profile, under the criteria. The agency's preliminary ratings also incorporate its view of V.Group's "adequate" liquidity.

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