...July 7, 2021 NEW YORK (S&P Global Ratings) July 7, 2021--S&P Global Ratings today said it assigned its 'B' issue rating and '3' recovery rating to MoneyGram International's proposed $400 million first-lien term loan B and $415 million secured debt due 2026. The '3' recovery rating indicates our expectation for meaningful (50%-70%; rounded estimate: 50%) recovery in the event of a hypothetical default. The issuances will be pari passu with the revolving credit facility. The company intends to use the net proceeds from this transaction to refinance its existing $634 million of first-lien term loan due 2023 and $155 million of second-lien credit facility due 2024. We view this transaction favorably because it helps reduce interest expense and alleviate the upcoming refinancing risk. The revolving credit facility will be subject to financial covenants of maximum total net leverage of 4.75x, minimum cash interest coverage of 2.15x, and an asset coverage covenant, consistent with the existing...
