Moody’s assigns Coty notes B3

Moody’s Investors Service said it assigned a B3 rating to Coty Inc.’s proposed $750 million of senior first-lien secured five-year notes.

Concurrently, Moody’s changed Coty’s rating outlook to stable from negative and affirmed the company’s Caa1 corporate family rating and its Caa1-PD probability of default rating. Moody’s also affirmed Coty’s senior secured credit facility ratings, including its first-lien revolving credit facility at B3 and its first-lien term loan at B3, and also affirmed Coty’s Caa3 senior unsecured notes rating. Coty’s SGL-4 Speculative Grade Liquidity Rating remains unchanged.

Proceeds will be used to repay a portion of Coty’s $1.9 billion outstanding term loan A due 2023 and pay $13 million of fees and expenses.

Moody’s said it changed the outlook because it expects Coty will continue improving credit metrics over the next 12-to-18 months through an ongoing recovery in earnings from the weakness suffered during the coronavirus downturn.

© 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.