WMB Holdings Inc. Assigned 'BB-' Rating On Intertrust Acquisition; Outlook Stable; Term Loan B Rated 'BB-'

U.S.-based business, legal, tax, and digital brand services provider WMB Holdings Inc. (aka CSC) announced in December 2021 that it plans to acquire Intertrust N.V. (BB/Watch Dev/--) for an equity purchase price of €1.8 billion. Intertrust provides specialized administrative services for corporations and financial services companies, predominantly in Europe and Asia. We assigned our 'BB-' issuer rating to CSC, reflecting its good market position, solid EBITDA margins, consistent revenue growth, and stable profitability, partially offset by its aggressive pro forma adjusted leverage and high business integration needs. We also assigned our 'BB-' issue-level and '3' recovery ratings to CSC's $2.35 billion proposed first-lien term loan B we expect to be issued by wholly owned subsidiary Corporation Service Co. The '3'

...May 5, 2022 - U.S.-based business, legal, tax, and digital brand services provider WMB Holdings Inc. (aka CSC) announced in December 2021 that it plans to acquire Intertrust N.V. (##/Watch Dev/--) for an equity purchase price of 1.8 billion. Intertrust provides specialized administrative services for corporations and financial services companies, predominantly in Europe and Asia. - We assigned our '##-' issuer rating to CSC, reflecting its good market position, solid EBITDA margins, consistent revenue growth, and stable profitability, partially offset by its aggressive pro forma adjusted leverage and high business integration needs. - We also assigned our '##-' issue-level and '3' recovery ratings to CSC's $2.35 billion proposed first-lien term loan B we expect to be issued by wholly owned subsidiary Corporation Service Co. The '3' recovery rating indicates our expectation for meaningful (50%-70%; rounded estimate: 60%) recovery in the event of a payment default. - The stable outlook reflects...

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