Moody's: Zest Anchors loan B2

Moody's Investors Service said it assigned a B3 corporate family rating and B3-PD probability of default rating to Zest Anchors Inc.

At the same time, Moody said it also assigned a B2 rating to Zest Anchors' proposed $160 million senior secured first-lien term loan facility and $20 million revolving credit facility.

The proceeds will be used along with an $80 million second-lien term loan (not rated) and $103 million of cash to fund the purchase of Zest Anchors by Avista Capital Partners.

The B3 corporate family rating reflects Zest Anchors' small size on both an absolute basis and relative to larger competitors, as well as the company's high pro forma leverage and minimal free cash flow to debt at 6.0 times and 3.5%, respectively for the latest 12-month period ended March 31, the agency said.

© 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.