S&P rates West notes BB, loan BB

S&P said it assigned a BB rating and 2 recovery rating to West Corp.'s proposed $400 million senior secured notes due 2021.

The 2 recovery rating indicates 70% to 90% expected default recovery.

S&P also said it is assigned a BB rating and 2 recovery rating to the company's $225 million senior secured term loan B-14 due 2021.

The 2 recovery rating indicates 70% to 90% expected default recovery.

The company revised the proposed term loan refinancing it announced in May, S&P explained. It now plans to downsize the $750 million term loan A-2 due 2021 to the $650 million to $700 million range, issue a $225 million term loan B-14 due 2021 and upsize its $470 million term loan B-12 due 2023 to $870 million, the agency said.

The company still plans to extend the $300 million revolving credit facility's maturity to 2021 from 2019 as part of the refinancing, S&P added.

The company’s other ratings, including its BB- corporate credit rating and stable outlook, are unchanged.

The proceeds will be used from the senior debt offering to repay a portion of its existing term loans so that about $100 million to $150 million is left outstanding on the combined term loan B-10 due 2018 and term loan A-1 due 2019 and refinance the term loan B-11 due 2021 in its entirety, the agency said.

S&P said it will withdraw the ratings on the term loan B-11 due 2021 when the company completes the proposed refinancing transaction.

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