Cengage Learning, Inc. -- Moody's assigns Cengage Learning, Inc. B2 CFR, outlook is stable.

New York, May 17, 2016 -- Moody's Investors Service ("Moody's") assigned Cengage Learning, Inc. B2 Corporate Family Rating (CFR) and assigned Probability of Default Rating B2-PD to incorporate proposed loan and unsecured notes capital structure. The proposed $1,590 million Senior Secured Term Loan is rated Ba3 (LGD-3) and the $740 million Senior Unsecured Notes are rated Caa1 (LGD-5). The company will use proceeds from the transaction to retire existing $2,010 million Senior Secured Term Loan and pay a special dividend to the shareholders of $283 million. The outlook is stable. The issuer of the proposed debt (Cengage Learning, Inc.) was previously an operating subsidiary of Cengage Learning Acquisitions, Inc. (B2, Stable) holding the business assets, and is the surviving entity of the merger of Cengage Learning, Inc. and Cengage Learning Acquisitions, Inc. Moody's will withdraw all ratings for Cengage Learning Acquisitions, Inc. upon closing of the transaction.

Vollständigen Artikel bei Moodys lesen