...- S&P Global Ratings is assigning a 'B-' issuer credit rating to Birmingham, Ala.-based veterinary service provider SVP Holdings LLC (d.b.a Southern Veterinary Partners). - Our rating reflects SVP Holdings' leverage in excess of 10x in 2020, due mainly to continued acquisitions, and its limited history of significant cash flow generation. It also reflects SVP's small scale, limited geographic coverage, and the intense competition for acquisitions in the veterinary services space. - At the same, we are assigning a 'B-' issue-level rating and '3' recovery rating to the first-lien credit facilities, and a '###' issue-level rating and '6' recovery rating to the second-lien credit facility. - Our stable outlook reflects our expectation for double-digit percentage revenue growth, steadily growing free cash flows, and improving adjusted EBITDA margins to about 14%-16%, driven by organic and inorganic growth. It also reflects our expectation of a continued aggressive acquisition strategy that will...
