International Automotive Components Group CCR Raised To #B-#, Outlook Rating Withdrawn At Issuer#s Request

Stocks and Financial Services Press Releases Friday May 11, 2018 17:13
NEW YORK--11 May--S&P Global Ratings

NEW YORK (S&P Global Ratings) May 10, 2018--S&P Global Ratings today raised its corporate credit rating on global auto component supplier International Automotive Components Group S.A. (IAC) to 'B-' from 'CCC-'. The outlook is negative.

Subsequently, we withdrew our 'B-' corporate credit rating on IAC at the company's request.

We raised our corporate credit rating on IAC to reflect its reduced risk of default following the completion of a refinancing transaction. As part of the recapitalization, IAC issued $215 million of senior secured notes due April 2023 (unrated) to funds managed by Gamut Capital Management LP, a private equity firm. The company used proceeds to refinance its $300 million 9.125% senior secured notes due June 1, 2018. The rating on IAC reflects our expectation that the company's operational performance will remain steady. It also reflects reduced risk as the company's debt-to-EBITDA will improve and fall below 5x in 2018 per our estimates. The company's soft trim joint venture transaction in late 2017 provided it with a critical infusion of cash, which will allow management to implement its strategic initiatives. The negative outlook reflects our expectation that IAC's free cash flow will turn negative due to the cash restructuring costs, which will increase the company's reliance on its credit facilities.

Latest Press Release

TQM to float 75m IPO shares to finance online platform introduction for digital insurance

SEC has start counting Day 1 on TQM's filing for an IPO of up to 75,000,00 shares at THB 1.0 each, to raise fund to development an online platform that will suit the current digital environment. TQM's management are working to grow the company's four...

UOB and Grab announce strategic regional alliance to accelerate the use of digital services among ASEAN#s consumers

Alliance will fuel Grab's ambition to build ASEAN's first everyday "super app" and complement UOB's efforts to scale up its regional customer franchise United Overseas Bank Limited (UOB) and Grab today announced they have entered into a strategic...

Photo Release: KBank teams with Thai Lion Air to kick off air ticket payment service via QR code

Mr. Vallop Vongjitvuttikrai (second from left), KBank Executive Vice President, and Mr. Aswin Yangkirativorn, Chief Executive Officer of Thai Lion Mentari Co.,Ltd., launched the payment-acceptance service for Thai Lion Air tickets via QR code on K PLUS...

Alibaba Group Announces September Quarter 2018 Results

Alibaba Group Holding Limited (NYSE: BABA) today announced its financial results for the quarter ended September 30, 2018. "Alibaba had another strong quarter of rapid growth. In particular, annual active consumers increased by 25 million to reach 601...

Photo Release: KBank welcomes participants of Dream toward Government House Realized by the Military Program

Recently, at KBank Rat Burana Main Branch, President Kattiya Indaravijaya welcomed the youths who take part in the "Dream toward Government House Realized by the Military" Program Class 5 of 2018, organized by Suranaree Force and Internal Security...

Related Topics