AIP/MC Holdings LLC Assigned 'B' Corporate Credit Rating, Outlook Stable; New Debt Rated 'B'

American Industrial Partners (AIP) has signed an agreement to acquire Arrium Ltd.'s Mining Consumables Division, Moly-Cop, forming AIP/MC Holdings LLC. The $1.16 billion acquisition will be funded by $725 million in senior secured notes and a $500 million common equity contribution from the sponsors. A new $125 million asset-based lending (ABL) revolving credit facility (unrated) will also be put in place as part of the transaction. We are assigning our 'B' corporate credit rating to Moly-Cop. In addition, we are assigning a 'B' issue-level rating and a '3' recovery rating to the company's proposed senior secured notes. The outlook is stable, reflecting our view that Moly-Cop will maintain an adjusted debt to EBITDA between 4x and 5x over the next

...+ American Industrial Partners (AIP) has signed an agreement to acquire Arrium Ltd.'s Mining Consumables Division, Moly-Cop, forming AIP/MC Holdings LLC. + The $1.16 billion acquisition will be funded by $725 million in senior secured notes and a $500 million common equity contribution from the sponsors. + A new $125 million asset-based lending (ABL) revolving credit facility (unrated) will also be put in place as part of the transaction. + We are assigning our 'B' corporate credit rating to Moly-Cop. In addition, we are assigning a 'B' issue-level rating and a '3' recovery rating to the company's proposed senior secured notes. + The outlook is stable, reflecting our view that Moly-Cop will maintain an adjusted debt to EBITDA between 4x and 5x over the next 12 months. DALLAS (S&P Global Ratings) Nov. 29, 2016--S&P Global Ratings said today it assigned its 'B' corporate credit rating to U.S.-based global supplier of grinding media AIP/MC Holdings LLC (Moly-Cop). The outlook is stable. At...

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