Research Update: PMHC II Inc. 'B-' Rating Affirmed On Acquisition Of Ferro, Combination With Chromaflo; Outlook Stable; New Debt Rated

PMHC II Inc. (doing business as Prince International Corp.) announced a proposed debt offering related to its acquisition of Ferro Corp. We expect Prince to acquire Ferro, a publicly listed company, in a transaction valued at about $2.1 billion, including the assumption of debt. Subsequently, the newly formed entity will combine with ASP Chromaflo Holdings L.P. (Chromaflo Technologies). Both Prince and Chromaflo are owned by private-equity firm American Securities LLC. As part of the transaction, the company is issuing a new $325 million senior secured revolving credit facility, $1.945 billion senior secured term loan B, $500 million in senior secured notes, and $756 million in senior unsecured notes. We affirmed our 'B-' issuer credit rating on PMHC II. We assigned

...- PMHC II Inc. (doing business as Prince International Corp.) announced a proposed debt offering related to its acquisition of Ferro Corp. - We expect Prince to acquire Ferro, a publicly listed company, in a transaction valued at about $2.1 billion, including the assumption of debt. Subsequently, the newly formed entity will combine with ASP Chromaflo Holdings L.P. (Chromaflo Technologies). Both Prince and Chromaflo are owned by private-equity firm American Securities LLC. - As part of the transaction, the company is issuing a new $325 million senior secured revolving credit facility, $1.945 billion senior secured term loan B, $500 million in senior secured notes, and $756 million in senior unsecured notes. - We affirmed our 'B-' issuer credit rating on PMHC II. We assigned our 'B-' issue-level and '3' recovery ratings to the company's new proposed senior secured debt and '###+' issue-level and '5' recovery ratings to the new proposed senior unsecured debt. - The stable outlook reflects...

Research Update