...May 8, 2024 NEW YORK (S&P Global Ratings) May 8, 2024-S&P Global Ratings assigned its 'B' issue-level rating to U.S.-based software provider Cloud Software Group Holdings Inc.'s planned offering of $1 billion of senior secured first-lien notes (issued by Cloud Software Group Inc.). We expect the company will use the issuance to repay a portion of its existing term loan A, redeem the outstanding holdco preferred shares, pay preferred share dividends, and fund balance sheet cash. The issuance will increase debt to EBITDA slightly, but doesn't materially change our current rating expectations. All our ratings on Cloud Software Group including our 'B' issuer credit rating are unchanged. We expect good annual revenue growth of about 6% and improved EBITDA margins to support Cloud Software Group's steady deleveraging over the next 12 months. As the company's restructuring costs have decreased and savings are realized, EBITDA margin will likely improve to about 51% in fiscal 2024 from 47% in fiscal...
