Private-equity firm Veritas Capital is acquiring MHVC Acquisition Corp., Harris Corp.'s government information technology (IT) services business, for $675 million. The company will finance the acquisition with $475 million of new debt and an equity contribution from Veritas. We are assigning our 'B' corporate credit rating to MHVC. At the same time, we are assigning our 'B' issue-level rating and '3' recovery rating to the company's proposed $350 million first-lien term loan and $40 million revolver. The stable outlook reflects our belief that the company's credit ratios will improve over the next 12 months as its earnings increase, though its leverage will likely remain elevated due to the financial policies of its private-equity owner. On April 5, 2017, S&P Global
