Moody’s Gives Bass Pro Thumbs Up on Merger Savings
Despite depressed sales related to the recent softness in the gun business, Moody’s affirmed Bass Pro’s Ba3 corporate rating (speculative) and B1 rating (highly speculative) senior secured debt rating with a positive outlook. Bass pro is planning to increase its existing term loan by $800 million, using the proceeds to redeem 63% of its $1.3 billion in preferred equity as well as make a shareholder distribution that wasn’t detailed. The $5.0 billion merger was financed with $1.8 billion from Goldman Sachs, a $3.37 billion senior loan and another $600 million from Pamplona.
The positive outlook is the result of improving margins ... Log in to view full article.