Bulletin: NVA Holdings Inc. Ratings Unaffected By Add-On To First-Lien Term Loan

TORONTO (S&P Global Ratings) May 8, 2017--S&P Global Ratings said today that its ratings and outlook on NVA Holdings Inc. (B/Stable/--) are not affected by the company's issuance of a $150 million add-on to its senior secured first-lien term loan. The company will use proceeds from the add-on to fund future acquisitions. Our rating on the first-lien debt remains 'B', with a '3' recovery rating. The '3' recovery rating indicates our expectation for meaningful (50%-70%; rounded estimate: 60%) recovery of principal in the event of a payment default. Our rating on the second-lien debt remains 'CCC+', with a '6' recovery rating. The '6' recovery rating indicates our expectation for negligible (0%-10%) recovery of principal in the event of a payment

...TORONTO (S&P Global Ratings) May 8, 2017--S&P Global Ratings said today that its ratings and outlook on NVA Holdings Inc. (B/Stable/--) are not affected by the company's issuance of a $150 million add-on to its senior secured first-lien term loan. The company will use proceeds from the add-on to fund future acquisitions. Our rating on the first-lien debt remains 'B', with a '3' recovery rating. The '3' recovery rating indicates our expectation for meaningful (50%-70%; rounded estimate: 60%) recovery of principal in the event of a payment default. Our rating on the second-lien debt remains '###+', with a '6' recovery rating. The '6' recovery rating indicates our expectation for negligible (0%-10%) recovery of principal in the event of a payment default. Our corporate credit rating on NVA reflects the company's leading position but narrow operating focus in the highly fragmented veterinary practices market. The rating also reflects our expectation that NVA's adjusted leverage will remain...

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