S&P assigns BB- to United Rentals notes

S&P said it assigned its BB- issue-level ratings to United Rentals (North America) Inc.'s proposed $750 million senior unsecured notes due 2025 and proposed $750 million senior unsecured notes due 2028.

The 4 recovery rating indicates an expectation for average (30%-50%, rounded estimate 35%) recovery in the event of a payment default. United Rentals Inc. is the guarantor of the notes.

At the same time, the agency affirmed the issue-level and recovery ratings on the company's existing debt.

The corporate credit ratings and positive outlooks on both entities are unchanged.

S&P said the company plans to use the proceeds from the issuance to fund its acquisition of Neff Corp., repay borrowings under its asset-based lending facility and pay fees and expenses.

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