Netherlands-Based Consumer Plastics Producer Keter Group B.V. Assigned 'B' Rating On Acquisition

On July 28, 2016, a consortium led by BC Partners reached an agreement to acquire a majority stake in Keter Group B.V. (Keter) and its subsidiaries from its founders, the Sagol family. The transaction will be funded from a combination of equity and debt instruments including a new €690 million term loan B and €150 million of payment-in-kind (PIK) toggle notes. Keter is assessed as having a fair business risk and highly leveraged financial risk profile, given its financial-sponsor ownership. We are therefore assigning it a corporate credit rating of 'B'. The outlook is stable. LONDON (S&P Global Ratings) Sept. 13, 2016--S&P Global Ratings today assigned a 'B' long-term corporate credit rating to Keter Group B.V. The outlook is stable.

...+ On July 28, 2016, a consortium led by BC Partners reached an agreement to acquire a majority stake in Keter Group B.V. (Keter) and its subsidiaries from its founders, the Sagol family. + The transaction will be funded from a combination of equity and debt instruments including a new 690 million term loan B and 150 million of payment-in-kind (PIK) toggle notes. + Keter is assessed as having a fair business risk and highly leveraged financial risk profile, given its financial-sponsor ownership. + We are therefore assigning it a corporate credit rating of 'B'. The outlook is stable. LONDON (S&P Global Ratings) Sept. 13, 2016--S&P Global Ratings today assigned a 'B' long-term corporate credit rating to Keter Group B.V. The outlook is stable. At the same time, we assigned a 'B' issue rating to the proposed 690 million term loan B due 2023, with a recovery rating of '3', reflecting our expectation of meaningful (50%-70%) recovery in the event of a payment default. Keter enjoys market-leading...

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