S&P revises TwentyEighty recovery

S&P said it revised the recovery rating on TwentyEighty Inc.'s senior secured debt to 4 from 3.

The 4 recovery rating indicates 30% to 50% expected default recovery.

The agency also said it affirmed the CC rating on the senior secured debt.

The recovery revision is based on a lower valuation of the company in a simulated default scenario, S&P explained.

The valuation reflects a $30 million EBITDA at emergence assumption, which is closer to the estimated EBITDA for the next 12 months, the agency said, and a 5x distressed EBITDA multiple.

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