S&P rates ALM Media loans B+, CCC+

Standard & Poor's said it assigned ALM Media LLC its B corporate credit rating.

The outlook is stable.

The agency also assigned B+ ratings with a 2 recovery rating to ALM Media’s $215 million first-lien term loan due 2020 and $22.5 million first-lien revolving credit facility due 2020, and a CCC+ rating with a 6 recovery rating to its $50 million second-lien term loan due 2021.

Proceeds will be used to help fund Wasserstein & Co.'s acquisition of the company and to repay its existing debt.

"We based our assessment of the business risk profile as ‘weak’ on the company's narrow business focus, relatively small size, mature organic growth prospects, and competition with much larger players," S&P credit analyst Hal Diamond said in a news release.

"ALM Media has a niche position in the legal publishing sector. The company's subscription base, which accounts for roughly 30% of revenues, provides advertisers with a highly targeted vehicle. Subscription revenue has slightly declined since 2009 as a result of the consolidation of certain larger law firms and minimal growth in legal end market demand."

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