Moody's assigns FloWorks loan B3

Moody's Investors Service said it assigned ratings to FloWorks International LLC, including a B3 to the new $270 million first-lien term loan due 2028, a B3 corporate family rating and a B3-PD probability of default rating.

Term loan proceeds were primarily used to fund FloWorks' acquisition of SemiTorr Group, to refinance indebtedness and to pay the related fees and expenses.

“FloWorks' B3 CFR reflects the company's modest revenue and asset base, its exposure to the chemical and more cyclical refining sectors that account for about two-third of its end-market exposures, and moderately high financial leverage following the acquisition. As a diversified distributor, FloWorks can experience some margin variability driven by end-market dynamics as their customer base evolves or as product sales volumes and / or supply chain dynamics persist,” Moody’s said in a press release.

The outlook is stable.

© 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.