...- Evoca S.p.A's plan to refinance its capital structure by issuing 550 million senior secured notes and a 80 million super senior revolving credit facility (RCF) will reduce its annual interest costs, supporting free operating cash flow (FOCF) generation. - As part of the transaction, Evoca's direct parent LSF9 Canto Midco DAC will issue 210 million of subordinated payment-in-kind notes to repay a portion of its profit participating notes (PPNs). - We are therefore affirming our 'B' rating on the company. At the same time, we are assigning a 'B+' issue rating to the proposed super senior RCF and 'B' rating to the proposed senior secured notes. - The stable outlook reflects our expectation that Evoca's shareholder Loan Star will convert the residual balance of PPNs into ordinary shares, and that Evoca will continue to report profitable growth and positive FOCF generation, supporting adjusted debt to EBITDA of 8.0x-8.5x....
