Fitch rates Ren10 Holding B+

Fitch Ratings said it assigned expected B+ ratings to Ren10 Holding AB and its €350 million issue of senior secured notes.

Ren10 Holding was set up to acquire Renta Group Oy on behalf of funds managed by the private equity group, IK Partners. On completion of the transaction, IK Partners' funds will assume 89.4% majority ownership of Ren10 Holding AB, with the remainder owned by the company's employees

The issuer rating reflects the small but growing franchise of Renta in equipment rental in its core and newly entered markets, and solid EBITDA margins but net loss at the pre-tax level, Fitch said.

Renta plans to use the proceeds as its core funding source, supplemented by a €75 million super senior revolving credit facility that will be used for general corporate purposes.

The outlook is stable.

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