Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated - S&P Global Ratings’ Credit Research

Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated

Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated - S&P Global Ratings’ Credit Research
Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated
Published Jul 06, 2021
9 pages (3806 words) — Published Jul 06, 2021
Price US$ 225.00  |  Buy this Report Now

About This Report

  
Abstract:

KKR Apple Bidco LLC will issue new debt related to KKR&Co's $4.475 billion leveraged buyout (LBO) of Plano, Texas-based provider of fuel, terminal, aircraft hangaring, and other aviation services Atlantic Aviation. The company expects the transaction to close in the second half of 2021. Pro forma for the transaction, S&P Global Ratings-adjusted leverage will increase to the mid-7x area from the low-5x area. As a result, we lowered our issuer credit rating on Atlantic Aviation FBO Inc. by one notch to 'B' from 'B+'. At the same time, we assigned our 'B' issuer credit rating to the new borrower in the proposed transaction, KKR Apple Bidco LLC. Following completion of the sale, we expect to maintain our ratings

  
Brief Excerpt:

...- KKR Apple Bidco LLC will issue new debt related to KKR & Co's $4.475 billion leveraged buyout (LBO) of Plano, Texas-based provider of fuel, terminal, aircraft hangaring, and other aviation services Atlantic Aviation. The company expects the transaction to close in the second half of 2021. Pro forma for the transaction, S&P Global Ratings-adjusted leverage will increase to the mid-7x area from the low-5x area. - As a result, we lowered our issuer credit rating on Atlantic Aviation FBO Inc. by one notch to 'B' from 'B+'. - At the same time, we assigned our 'B' issuer credit rating to the new borrower in the proposed transaction, KKR Apple Bidco LLC. Following completion of the sale, we expect to maintain our ratings on KKR Apple Bidco LLC and withdraw our ratings on Atlantic Aviation FBO Inc. - We also assigned our 'B+' issue-level rating and '2' recovery rating to KKR Apple Bidco LLC's proposed first-lien credit facility, which will include a $225 million revolving credit facility due...

  
Report Type:

Research Update

Issuer
KKR Apple Bidco LLC
Sector
Global Issuers
Country
United States
Region
United States
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated" Jul 06, 2021. Alacra Store. May 03, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Atlantic-Aviation-FBO-Inc-Downgraded-To-B-From-B-On-Leveraged-Buyout-Outlook-Stable-New-Debt-Rated-2683621>
  
APA:
S&P Global Ratings’ Credit Research. (). Research Update: Atlantic Aviation FBO Inc. Downgraded To 'B' From 'B+' On Leveraged Buyout, Outlook Stable; New Debt Rated Jul 06, 2021. New York, NY: Alacra Store. Retrieved May 03, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Research-Update-Atlantic-Aviation-FBO-Inc-Downgraded-To-B-From-B-On-Leveraged-Buyout-Outlook-Stable-New-Debt-Rated-2683621>
  
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