Moody’s rates Western Digital CFR, debt Ba1

Moody's Investors Service said it assigned a Ba1 corporate family rating and a Ba1-PD probability of default rating to Western Digital Corp. in conjunction with the company raising $18.1 billion of new debt (of which $17.4 billion is expected to be drawn at closing) to fund the pending acquisition of SanDisk Corp. and refinance existing debt at Western Digital and SanDisk.

As part of the action, the agency assigned a Ba1 rating to Western Digital’s proposed senior secured debt issuance and a Ba2 rating to its proposed senior unsecured debt issuance.

Moody's also assigned an SGL-2 rating indicating good liquidity.

The outlook is stable.

Moody’s said the Ba1 corporate family rating reflects the combined companies' substantial scale in serving the storage needs for a broad range of customers across nearly all storage media formats, with over $18 billion of combined proforma revenues following the acquisition.

© 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.