Bulletin: Solina Group Holding's Proposed Debt-Funded Acquisitions Can Be Absorbed Under Current Rating Thresholds

This report does not constitute a rating action. MADRID (S&P Global Ratings) Jan. 6, 2025--S&P Global Ratings said today that the proposed debt-funded acquisitions of Solina Group Holding have no implications for our 'B' rating and stable outlook on the France-based food ingredients manufacturer. The company will issue a U.S. dollar-denominated €174 million add-on to its existing €377 million U.S. dollar term loan B (TLB) facility to fund two opportunistic bolt-on acquisitions in the U.S. The acquisitions under consideration include a functional and taste ingredients manufacturer (including dry, wet, and precoat solutions), and a company specialized in savory and sweet sauces. In our view, the proposed transaction is consistent with Solina?s strategy of strengthening its U.S. market position, especially in

...January 6, 2025 This report does not constitute a rating action. MADRID (S&P Global Ratings) Jan. 6, 2025--S&P Global Ratings said today that the proposed debt-funded acquisitions of Solina Group Holding have no implications for our 'B' rating and stable outlook on the France-based food ingredients manufacturer. The company will issue a U.S. dollar-denominated 174 million add-on to its existing 377 million U.S. dollar term loan B (TLB) facility to fund two opportunistic bolt-on acquisitions in the U.S. The acquisitions under consideration include a functional and taste ingredients manufacturer (including dry, wet, and precoat solutions), and a company specialized in savory and sweet sauces. In our view, the proposed transaction is consistent with Solina's strategy of strengthening its U.S. market position, especially in business-to-business food processors, and improving its geographic and product range diversification. We positively view Solina's track record of successful integration...

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