Ashton Woods USA LLC's Proposed $300 Million Senior Unsecured Notes Rated 'B' (Recovery Rating: '3')

CENTENNIAL (S&P Global Ratings) Sept. 9, 2021--S&P Global Ratings today assigned its 'B' issue-level rating and '3' recovery rating to homebuilder Ashton Woods USA LLC's proposed $300 million senior unsecured notes due in 2030. Ashton Woods Finance Co. will be an issuer of the notes. The company intends to use a portion of the net proceeds from the sale of the notes offered to fully redeem its 9.875% senior notes due in 2027, of which $255 million was outstanding as of August 31, 2021. We consider the planned transaction neutral for credit quality. The '3' recovery rating indicates our expectation of meaningful (50%-70%; rounded estimate: 65%) recovery in the event of payment default. For a more detailed view of our

...- General Criteria: Group Rating Methodology, July 1, 2019 - Criteria | Corporates | General: Corporate Methodology: Ratios And Adjustments, April 1, 2019 - Criteria | Corporates | General: Recovery Rating Criteria For Speculative-Grade Corporate Issuers, Dec. 7, 2016 - Criteria | Corporates | General: Methodology And Assumptions: Liquidity Descriptors For Global Corporate Issuers, Dec. 16, 2014 - Criteria | Corporates | Industrials: Key Credit Factors For The Homebuilder And Real Estate Developer Industry, Feb. 3, 2014 - General Criteria: Country Risk Assessment Methodology And Assumptions, Nov. 19, 2013 - General Criteria: Methodology: Industry Risk, Nov. 19, 2013 - Criteria | Corporates | General: Corporate Methodology, Nov. 19, 2013 - General Criteria: Methodology: Management And Governance Credit Factors For Corporate Entities, Nov. 13, 2012 - General Criteria: Principles Of Credit Ratings, Feb. 16, 2011...

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