S&P rates Symantec loan BBB-

S&P said it assigned a BBB- rating to Symantec Corp.’s new $2 billion senior unsecured credit facility, consisting of a $1 billion five-year revolving credit facility and $1 billion three-year term loan A.

The revolving credit facility will replace Symantec’s existing $1 billion revolver and will be undrawn at closing.

The proceeds will be used for general corporate purposes, including supporting the company’s previously announced $5.5 billion capital return plan, S&P said.

The corporate credit rating and outlook are unaffected by the transaction, the agency said.

Although an increasingly aggressive shareholder return policy and larger debt burden may push the company out of a net cash position over the next few years, S&P said it expects Symantec’s adjusted leverage to remain well below the 2x downgrade trigger.

The ratings are based on the company’s fair business risk profile and minimal financial risk profile, the agency said.

The ratings also reflect the company’s leading position in both consumer and corporate endpoint security markets, S&P said.

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