Moody's downgrades RentPath, view negative

Moody's said it downgraded RentPath, LLC's corporate family rating to Caa1 and its probability of default rating to Caa1-PD.

Moody's also downgraded the company's senior secured first-lien credit facilities to B3 from B2. The second-lien term loan was downgraded to Caa3 from Caa2.

The outlook is revised to negative from stable.

Moody’s said the downgrade reflects challenging competitive dynamics in the apartment rental market and material increase in marketing spend required to compete against a larger and better capitalized competitor.

“We expect that the December 17, 2019 maturity of $15 million in undrawn revolving credit availability will further pressure the company's financial position if competition remains challenging,” Moody’s said in a news 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.