U.S. electronic payment processing services provider Total System Services Inc. (TSS) has announced an agreement to acquire privately-held U.S. merchant payment processor TransFirst Holdings Inc. for approximately $2.35 billion. The company expects to fund the acquisition with a combination of new unsecured credit facilities and senior unsecured notes and expects to close the transaction in the second quarter of 2016. We are lowering all our ratings on TSS to 'BBB-' from 'BBB+' as a result of higher initial leverage. The outlook is stable, reflecting our expectation that consistent organic revenue growth and stable EBITDA margins will support rapid deleveraging over the coming two years. On Jan. 26, 2016, Standard&Poor's Ratings Services lowered its corporate credit and debt ratings
