...June 22, 2022 FRANKFURT (S&P Global Ratings) June 22, 2022--S&P Global Ratings today said its ratings on Iris HoldCo GmbH (B-/Stable/--), holding company of Rodenstock, are unchanged by the proposed 170 million add-on to its 660 million term loan B due 2028. Proceeds from the proposed issuance will be used to fund the acquisition of Spanish lenses manufacturer Indo Optical. The recovery rating on the term loan B remains at '4', reflecting our expectations of average recovery prospects (30%-50%; rounded estimate 35%) in the event of default. This is supported by our valuation of the business as a going concern, given its strong market position in some European markets and high-quality manufacturing. The recovery rating is constrained by the large amount of debt assumed to be outstanding at default and by the large amount of pension liabilities. We expect Rodenstock will be able to absorb the term loan add-on: we forecast adjusted debt to EBITDA will increase to about 9.0x in 2022 (7.6x-8.0x...
