S&P revises Vericast view to negative

S&P said it revised Vericast Corp.’s outlook to negative from stable but affirmed the CCC+ ratings on the company and its senior secured debt. The agency also removed the positive CreditWatch on the term loan.

Vericast canceled its planned refinancing, leaving it with its upcoming 2022 debt maturities.

“The negative outlook reflects the risk that Vericast will not be able to refinance its capital structure ahead of its 2022 debt maturities, leading to a liquidity event and an increased risk of a distressed exchange or restructuring. These risks are exacerbated by the secular declines in Vericast's key segments, its sustained high leverage, and lack of significant, sustained cash-flow generation relative to its debt fixed charges,” S&P said in a press release.

© 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.