Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2' - S&P Global Ratings’ Credit Research

Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2'

Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2' - S&P Global Ratings’ Credit Research
Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2'
Published Jan 05, 2017
6 pages (1995 words) — Published Jan 05, 2017
Price US$ 150.00  |  Buy this Report Now

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Abstract:

NEW YORK (S&P Global Ratings) Jan. 5, 2017--S&P Global Ratings today assigned its 'BB' issue-level rating and '2' recovery rating to Berry Plastics Corp.'s proposed seven-year $500 million incremental senior secured term loan J and $1.9 billion senior secured term loan I. The '2' recovery rating indicates our expectation for substantial (upper half of the 70%-90% range) recovery in the event of payment default. All of our other ratings on Berry are unchanged. The company is pursuing a $500 million incremental senior secured term loan J to fund its previously announced $765 million acquisition of AEP Industries Inc. (B/Watch Pos/--) and to reprice its existing $1.9 billion term loan H. Post repricing, we will withdraw our ratings on term loan

  
Brief Excerpt:

...NEW YORK (S&P Global Ratings) Jan. 5, 2017--S&P Global Ratings today assigned its '##' issue-level rating and '2' recovery rating to Berry Plastics Corp.'s proposed seven-year $500 million incremental senior secured term loan J and $1.9 billion senior secured term loan I. The '2' recovery rating indicates our expectation for substantial (upper half of the 70%-90% range) recovery in the event of payment default. All of our other ratings on Berry are unchanged. The company is pursuing a $500 million incremental senior secured term loan J to fund its previously announced $765 million acquisition of AEP Industries Inc. (B/Watch Pos/--) and to reprice its existing $1.9 billion term loan H. Post repricing, we will withdraw our ratings on term loan H. Terms and conditions on the proposed incremental term loan J are expected to be consistent with the company's current term loans. Post transaction and repricing, total debt outstanding is expected to be approximately $6.1 billion. Berry Plastics...

  
Report Type:

Ratings Action

Ticker
5719Z
Issuer
Berry Global Inc.
GICS
Metal & Glass Containers (15103010)
Sector
Global Issuers
Country
United States
Region
United States
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2'" Jan 05, 2017. Alacra Store. May 03, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Berry-Plastics-Corp-s-Proposed-Loans-To-Fund-AEP-Acquisition-Rated-BB-Recovery-Rating-Is-2-1780867>
  
APA:
S&P Global Ratings’ Credit Research. (). Berry Plastics Corp.'s Proposed Loans To Fund AEP Acquisition Rated 'BB'; Recovery Rating Is '2' Jan 05, 2017. New York, NY: Alacra Store. Retrieved May 03, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Berry-Plastics-Corp-s-Proposed-Loans-To-Fund-AEP-Acquisition-Rated-BB-Recovery-Rating-Is-2-1780867>
  
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