S&P rates Audacy DIP loan BB+

S&P said it assigned a BB+ rating to the $32 million debtor-in-possession term loan provided to Audacy Capital Corp., the borrower, and a subsidiary of radio broadcaster Audacy Inc.

Audacy filed for bankruptcy on Jan. 7 and is operating under Chapter 11.

The company is expected to emerge from Chapter 11 within six months. Of the $32 million, $25 million is structured to roll into exit financing upon emergence from bankruptcy.

“The BB+ rating on the DIP term loan primarily reflects our view of the credit risk borne by the DIP lenders and does not indicate any ratings we might assign to the contemplated exit facilities or to the reorganized entity after bankruptcy.

“The DIP rating is a point-in-time rating effective only for the date of this report. We will not review, modify or provide ongoing surveillance of this rating,” S&P said in a press release.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.