Hudson River Trading LLC's New Term Loan B Rated 'BB-'

TORONTO (S&P Global Ratings) Oct. 23, 2024--S&P Global Ratings today assigned its 'BB-' issue rating to Hudson River Trading LLC's (HRT; BB-/Positive/--) new $2.35 billion senior secured term loan B due 2030. The proceeds of the new loan will be used to repay the existing $2.1 billion term bank loan (maturing in 2028) and to support continued expansion of HRT's trading business and liquidity. The net additional debt resulting from this transaction will have no rating impact because we don't expect it to materially erode the firm's risk-adjusted capital (RAC) ratio. Despite recent considerable growth in its balance sheet, we expect HRT's pro forma RAC ratio to remain well above 10% with the upsized debt versus 14.8% as of June

...October 23, 2024 TORONTO (S&P Global Ratings) Oct. 23, 2024--S&P Global Ratings today assigned its '##-' issue rating to Hudson River Trading LLC's (HRT; ##-/Positive/--) new $2.35 billion senior secured term loan B due 2030. The proceeds of the new loan will be used to repay the existing $2.1 billion term bank loan (maturing in 2028) and to support continued expansion of HRT's trading business and liquidity. The net additional debt resulting from this transaction will have no rating impact because we don't expect it to materially erode the firm's risk-adjusted capital (RAC) ratio. Despite recent considerable growth in its balance sheet, we expect HRT's pro forma RAC ratio to remain well above 10% with the upsized debt versus 14.8% as of June 30, 2024, largely owing to strong earnings and retention. The positive outlook on the long-term issuer credit rating indicates our expectation that HRT will maintain supportive liquidity, capitalization, and operational performance as it continues...

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