Bulletin: ITP Aero's Proposed TLB Add-On Will Leave Metrics Within Ratings Thresholds

This report does not constitute a rating action. PARIS (S&P Global Ratings) Oct. 24, 2023--S&P Global Ratings today said that Propulsion (BC) Finco?s (ITP Aero?s) proposed €184 million term loan B add-on ($200 million) will fund an acquisition that will accelerate growth of sales and EBITDA, although it will not affect our credit assessment of the company. ITP Aero will use the proceeds to acquire BP Aerospace and pay transaction fees. BP Aerospace an independent provider of engine maintenance, repair, and overhaul (MRO) services. The acquisition will expand ITP Aero?s MRO offerings and strengthen its footprint in the U.S. by improving the company?s scale and geographic diversification. As part of the transaction, ITP Aero plans to increase its revolving credit

...October 24, 2023 This report does not constitute a rating action. PARIS (S&P Global Ratings) Oct. 24, 2023--S&P Global Ratings today said that Propulsion (BC) Finco's (ITP Aero's) proposed 184 million term loan B add-on ($200 million) will fund an acquisition that will accelerate growth of sales and EBITDA, although it will not affect our credit assessment of the company. ITP Aero will use the proceeds to acquire BP Aerospace and pay transaction fees. BP Aerospace an independent provider of engine maintenance, repair, and overhaul (MRO) services. The acquisition will expand ITP Aero's MRO offerings and strengthen its footprint in the U.S. by improving the company's scale and geographic diversification. As part of the transaction, ITP Aero plans to increase its revolving credit facility (RCF) by about 35 million ($37.5 million) to about 145 million ($153.5 million). We consider this will strengthen the company's liquidity cushion. We expect the RCF to be fully undrawn by end-2023. Following...

Bulletin