U.S. enterprise content management (ECM) provider Hyland Software Inc. has entered a definitive agreement to acquire Perceptive Software, a leading ECM provider for higher education and health care for an undisclosed amount. The acquisition will be funded with a $460 million tack-on to the first-lien term loan due in 2022, a new $240 million second-lien term loan due in 2025, and cash on hand. We are affirming our 'B' corporate credit rating, and our 'B' issue–level and '3' recovery ratings on the company's first-lien credit facilities. We are also assigning our 'CCC+' issue-level and '6' recovery ratings to the company's new second-lien term loan. The stable outlook reflects our expectation that Hyland will maintain high renewal rates and consistent operating
