Moody’s reviews Travelport, rates loans B3

Moody's Investors Service said it placed Travelport LLC's Caa1 corporate family rating and Caa1-PD probability of default rating under review for upgrade.

At the same time, the agency assigned provisional B3 ratings to the proposed $2.3 billion first-lien loan facility and $100 million revolving credit facility to be issued by Travelport Finance (Luxembourg) Sarl.

Moody's also placed the provisional B3 ratings under review for upgrade.

"Upon the successful closing of the transaction we expect to move the CFR from Travelport LLC to Travelport Limited which is the top entity of the new restricted group," Knut Slatten, Moody's assistant vice president and lead analyst for Travelport, said in a news release. The refinancing is expected to enhance Travelport's free cash flows as interest expenses diminish significantly. Moreover, Travelport has in recent months de-leveraged its capital structure.

"As a result we expect to upgrade the CFR and PDR to B3 upon transaction closing as currently presented. We also expect to withdraw all existing ratings at Travelport LLC," Slatten added in the release.

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