Bulletin: Ratings On German Beauty Retailer Kirk Beauty One GmbH Not Currently Affected By Announced Refinancing

LONDON (S&P Global Ratings) Jan. 23, 2017--S&P Global Ratings said today that its ratings and outlook on German-based beauty retailer Kirk Beauty One GmbH (B/Stable/--) are not affected following the announcement that Kirk Beauty will refinance its existing term loan B facility with a new facility of the same amount as the existing facility. The proposed refinancing will not materially affect Kirk Beauty's credit quality, in our view, and recent operating performance has been in line with our forecasts. We therefore anticipate that S&P Global Ratings-adjusted credit metrics will largely remain the same as we previously expected. We expect the new facility will offer the company more favorable debt service terms than the previous senior facilities agreement and predict that

...LONDON (S&P Global Ratings) Jan. 23, 2017--S&P Global Ratings said today that its ratings and outlook on German-based beauty retailer Kirk Beauty One GmbH (B/Stable/--) are not affected following the announcement that Kirk Beauty will refinance its existing term loan B facility with a new facility of the same amount as the existing facility. The proposed refinancing will not materially affect Kirk Beauty's credit quality, in our view, and recent operating performance has been in line with our forecasts. We therefore anticipate that S&P Global Ratings-adjusted credit metrics will largely remain the same as we previously expected. We expect the new facility will offer the company more favorable debt service terms than the previous senior facilities agreement and predict that adjusted debt to EBITDA will remain above 5x in 2017. The 'B' issue rating and '3' recovery ratings on Kirk Beauty's senior secured debt remain unchanged. We continue to expect recovery in the lower half of the 50%-70%...

Bulletin