...January 27, 2021 - Kleopatra Holdings 1 S.C.A. (KH1), the ultimate holding company of plastic packaging producer Kl÷ckner Pentaplast, intends to refinance the group's outstanding senior secured facilities and payment-in-kind (PIK) toggle notes. - The group is raising a 1,175 million senior secured term loan B (denominated in euros and U.S. dollars) due 2026 and a 150 million revolving credit facility (RCF) due 2025, with further issuance (around 400 million senior secured and 325 million senior debt) planned for the next few weeks. - We revised our forecasts to reflect the group's latest cost-efficiency initiatives and now expect S&P Global Ratings-adjusted debt to EBITDA will be at about 7.5x by year-end 2021 and about 7.1x by year-end 2022. - We are therefore raising our rating on KH1 and subsidiaries to 'B' from 'B-' and assigning a 'B' issue rating to the proposed senior secured term loan B, with a recovery rating of '3'. We will withdraw our ratings on the existing debt instruments...
