Research Update: GIP III Stetson I L.P. And GIP III Stetson II L.P. Rated 'B+'; Term Loan B Rated 'B+'

GIP III Stetson I L.P. and co-issuer GIP III Stetson II L.P are issuing a $1 billion senior secured term loan B due 2025. The company plans to use the proceeds from the offering to help fund Global Infrastructure Partners III's (GIP) acquisition of Devon Energy Corp.'s (Devon) ownership interest in EnLink Midstream Partners L.P. (EnLink)and EnLink Midstream LLC (ENLC). We are assigning a 'B+' issuer credit rating to GIP Stetson I L.P. and GIP III Stetson II L.P. At the same time, we are assigning our 'B+' issue-level rating and '4' recovery rating to the $1 billion term loan B. The stable outlook reflects our expectations that the company will maintain stand-alone adjusted debt leverage in the 3x-4x range

...+ GIP III Stetson I L.P. and co-issuer GIP III Stetson II L.P are issuing a $1 billion senior secured term loan B due 2025. + The company plans to use the proceeds from the offering to help fund Global Infrastructure Partners III's (GIP) acquisition of Devon Energy Corp.'s (Devon) ownership interest in EnLink Midstream Partners L.P. (EnLink)and EnLink Midstream LLC (ENLC). + We are assigning a 'B+' issuer credit rating to GIP Stetson I L.P. and GIP III Stetson II L.P. + At the same time, we are assigning our 'B+' issue-level rating and '4' recovery rating to the $1 billion term loan B. + The stable outlook reflects our expectations that the company will maintain stand-alone adjusted debt leverage in the 3x-4x range and consolidated adjusted debt leverage (inclusive of EnLink) in the 5.5x-6x range over the next 12 months....

Research Update