Moody's rates Travelport loan, notes B1

Moody's Investors Service said it assigned B1 ratings to the new $1.5 billion senior secured term loan B due 2025 and the new $150 million revolving credit facility due 2022 to be issued by Travelport Finance (Luxembourg) Sarl.

The agency also said it assigned a B1 rating to the new $650 million senior secured notes due 2026 to be issued by Travelport Corporate Finance plc.

Travelport Finance (Luxembourg) and Travelport Corporate Finance are both wholly owned subsidiaries of Travelport Ltd., Moody's explained.

Travelport's remaining ratings, including the B1 corporate family rating, probability of default rating of B1-PD and B1 instrument ratings are unchanged.

The outlook is stable.

The ratings reflect the launch of a refinancing of Travelport's capital structure, Moody's said.

The proceeds will be applied to repay the company's existing senior secured term loan B of $2.1 billion, the agency said.

The ratings on the existing instruments will be withdrawn on full repayment.

Leverage is not expected to change as a result of the refinancing, remaining at 5.1x, Moody's said.

The ratings consider the company's leading position as a travel commerce platform, along with the gradual losses in air travel market share and its position as the smallest of the three leading players in the industry, the agency said.

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