Specialty pet retailer PetSmart Inc. announced that it has entered into a definitive agreement to acquire online pet retailer Chewy Inc. for around $3 billion, which we expect will be funded with proceeds from additional debt and equity contribution from its sponsor, BC Partners. We are placing all of our ratings on PetSmart, including our 'B+' corporate credit rating and all issue-level ratings, on CreditWatch with negative implications. We could lower the ratings after evaluating the business and financial impact of the transaction, the financing details, and management's financial policies. On April 19, 2017, S&P Global Ratings placed its ratings on Phoenix, Ariz.-based PetSmart Inc., including its 'B+' corporate credit rating and issue-level ratings on the company's $4.3 billion secured
