Pluto Acquisition I Inc. (d/b/a AccentCare Inc.) Assigned 'B-' Rating; Outlook Positive

U.S.-based Pluto Acquisition I Inc. (d/b/a AccentCare Inc.), a provider of skilled home health, at-home personal care, and hospice services, is being acquired by Advent International for a total purchase price of $875 million. We assigned AccentCare a 'B-' issuer credit rating. The outlook is positive. We also assigned a 'B-' issue-level rating and 3' recovery to the company's first-lien facility, consisting of a $40 million revolving credit facility and a $355 million first-lien term loan. The '3' recovery rating indicates our expectation for meaningful recovery (50%-70%; rounded estimate: 55%) of principal in the event of default. The company's $75 million asset-backed loan (ABL) revolver and $130 million second-lien term loan are unrated. The positive outlook reflects our expectation that

...May 31, 2019 - U.S.-based Pluto Acquisition I Inc. (d/b/a AccentCare Inc.), a provider of skilled home health, at-home personal care, and hospice services, is being acquired by Advent International for a total purchase price of $875 million. - We assigned AccentCare a 'B-' issuer credit rating. The outlook is positive. - We also assigned a 'B-' issue-level rating and 3' recovery to the company's first-lien facility, consisting of a $40 million revolving credit facility and a $355 million first-lien term loan. The '3' recovery rating indicates our expectation for meaningful recovery (50%-70%; rounded estimate: 55%) of principal in the event of default. - The company's $75 million asset-backed loan (ABL) revolver and $130 million second-lien term loan are unrated. - The positive outlook reflects our expectation that the company is well positioned and will likely benefit from growing demand for home health services and the new reimbursement scheme at the Centers for Medicare and Medicaid Services...

Ratings Action