...NEW YORK (S&P Global Ratings) July 12, 2018--S&P Global Ratings said today that its ratings on Mesa, Ariz.-based Verra Mobility Corp. (B/Watch Pos/--); f.k.a. ATS Consolidated Inc.,) are unaffected by Verra's proposed $70 million incremental term loan B. The company plans to use the proceeds for general corporate purposes. The unaffected ratings include our 'B' issue-level and '3' recovery ratings on the company's senior secured debt, which includes the more recent $70 million add-on to its term loan. The placement of the company's ratings on CreditWatch with positive implications reflects our expectation that credit metrics will improve significantly from the announced merger with Gores Holdings II Inc., with S&P Global Ratings-adjusted debt to EBITDA expected to decline to the low-5x area by year-end 2018 (compared with our previous expectation of leverage in the high-5x area). We expect the transaction to close later in the third quarter, at which point we would expect to resolve the...
