S&P raises AutoStore

S&P said it raised the ratings on AutoStore (Automate Intermediate Holdings II Sarl) and its €440 million term loan to B+ from B. The agency also assigned a B+ issuer credit rating to AutoStore Holdings Ltd., the recently listed entity, which from now will report the group's consolidated accounts.

AutoStore raised about $315 million in cash proceeds through its recent IPO, of which about $236 million will prepay the second-lien facility in full and part of the term loan B. The rest is earmarked to cover transaction costs and add about $33 million cash to the balance sheet.

The agency said it now projects AutoStore’s S&P Global Ratings-adjusted debt to fall to €350 million-€400 million in 2021, down markedly from €581 million in 2020.

“The ratings reflect our view of structurally lower leverage and a new leverage target. We expect AutoStore will retain an S&P Global Ratings-adjusted leverage of 3x-3.5x in 2022, down materially from 10.2x in 2020,” S&P said in a press release.

The outlook is positive.

© 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.