Preliminary Rating Assigned To U.K. Corporate Securitization RAC Bond Co.'s Class B1 Notes

OVERVIEW We have assigned our preliminary 'B (sf)' credit rating to RAC Bond Co.'s class B1-Dfrd notes. Our preliminary rating reflects today's rating action on RAC Bidco (the Holdco), and our view that the uplift above the borrowing group's creditworthiness is limited due to the structural weaknesses of the issued bonds. At closing, the borrower will use the issuance proceeds to pay a dividend to RAC Midco II, the entity directly outside the securitization group, and transaction fees. The transaction blends a corporate securitization of the operating businesses of the obligors, RAC Bidco and its subsidiaries, which include the borrower, but exclude RAC Insurance, with a subordinated high-yield issuance. LONDON (S&P Global Ratings) July 6, 2017--S&P Global Ratings today assigned

...OVERVIEW + We have assigned our preliminary 'B (sf)' credit rating to RAC Bond Co.'s class B1-Dfrd notes. + Our preliminary rating reflects today's rating action on RAC Bidco (the Holdco), and our view that the uplift above the borrowing group's creditworthiness is limited due to the structural weaknesses of the issued bonds. + At closing, the borrower will use the issuance proceeds to pay a dividend to RAC Midco II, the entity directly outside the securitization group, and transaction fees. + The transaction blends a corporate securitization of the operating businesses of the obligors, RAC Bidco and its subsidiaries, which include the borrower, but exclude RAC Insurance, with a subordinated high-yield issuance. LONDON (S&P Global Ratings) July 6, 2017--S&P Global Ratings today assigned its preliminary 'B (sf)' credit rating to RAC Bond Co. PLC's ú275 million fixed-rate class B1-Dfrd notes (see list below). The transaction is a corporate securitization of the obligors' (RAC Bidco Ltd. [Holdco]...

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