...CHICAGO (S&P Global Ratings) Oct. 2, 2018--S&P Global Ratings said today that Fort Mill, S.C.-based Red Ventures Holdco L.P. (B+/Stable/--) will benefit from a reduction in its interest burden by approximately $25 million following the repayment of its $250 million (outstanding) second-lien term loan with the company's proposed $250 million add-on to its first-lien term loan and proposed refinancing of its first-lien credit facility, including a larger revolving credit facility. The ratings on Red Ventures are currently unaffected. The refinancing will allow the company to improve its free operating cash flows and support its growth strategy. The transaction is leverage neutral, with adjusted leverage (pro forma for the transaction and acquisitions and net of cash) remaining in the mid-5x area as of June 30, 2018. We expect that Red Ventures' adjusted leverage will decline toward the low- to mid-4x area over the next 12 months. The stable rating outlook reflects our view that, over the...
