...August 4, 2023 This report does not constitute a rating action. NEW YORK (S&P Global Ratings) July 27, 2023--S&P Global Ratings today said that Tacala LLC's (B-/Stable/--) proposed dividend recapitalization will have no immediate effect on our assessment of the company's credit quality. Tacala will fund the $140 million of shareholder distributions and $10 million of transaction-related fees and expenses with an $85 million fungible add-on to its existing first lien term loan and $65 million of balance sheet cash. In addition, the company is upsizing its revolving credit facility to $55 million from $30 million and repricing its existing $472 million first-lien and $160 million second-lien term loans. As of the end of the second quarter of 2023, Tacala had no outstanding drawings on its revolving credit facility and we expect the facility will remain undrawn following this transaction. As a result, our issuer credit rating on the company remains 'B-', with a stable outlook. We continue...
