...May 2, 2019 MELBOURNE (S&P Global Ratings) May 2, 2019--S&P Global Ratings today said that it has assigned its '##' issue rating to the proposed US$500 million seven-year senior unsecured 144a notes issued by Ausdrill Finance Pty Ltd., the financing arm of Ausdrill Ltd. (##/Stable/--). We assigned the notes a recovery rating of '4', reflecting our expectation for average (30%-50%; rounded estimate 35%) recovery in the event of a payment default. The company will use the proceeds to refinance Barminco Finance Pty Ltd.'s US$350 million secured notes rated '##' maturing in 2022; repay A$200 million of Ausdrill's A$300 million revolving credit facility, as well as transaction costs. As part of the recapitalization, the group's security structure would be consolidated. The revised capital structure will provide Ausdrill with long-dated debt. We view the proposed transaction as credit neutral. The issuer credit rating reflects Ausdrill's increased scale and geographic diversity after its Barminco...
