Research Update: Sigma HoldCo BV (UPFIELD, Formerly Flora Food Group) Assigned 'B+' Ratings On KKR Acquisition; Outlook Stable

Private equity sponsor KKR successfully completed the acquisition of Unilever's global spreads business UPFIELD, global leader in plant-based nutrition, for about €6.8 billion. As part of the transaction, UPFIELD issued roughly €4.65 billion-equivalent of senior secured debt (including a €700 million revolving credit facility), and €1.1 billion of senior unsecured notes. KKR contributed €1,996 million of common equity. We are assigning our 'B+' long-term rating to UPFIELD and the group's proposed senior secured term facilities, and our 'B-' rating to the group's senior unsecured notes. The stable outlook reflects our expectation that the group will maintain an S&P Global Ratings-adjusted EBITDA margin of 24%-25% and EBITDA interest coverage of 2.5x-3.0x. On July 23, 2018, S&P Global Ratings assigned its 'B+'

...+ Private equity sponsor KKR successfully completed the acquisition of Unilever's global spreads business UPFIELD, global leader in plant-based nutrition, for about 6.8 billion. + As part of the transaction, UPFIELD issued roughly 4.65 billion-equivalent of senior secured debt (including a 700 million revolving credit facility), and 1.1 billion of senior unsecured notes. KKR contributed 1,996 million of common equity. + We are assigning our 'B+' long-term rating to UPFIELD and the group's proposed senior secured term facilities, and our 'B-' rating to the group's senior unsecured notes. + The stable outlook reflects our expectation that the group will maintain an S&P Global Ratings-adjusted EBITDA margin of 24%-25% and EBITDA interest coverage of 2.5x-3.0x....

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