Blackstone’s Pactera Buyout Bond Has Weak Covenants, Lucror Says

20 March 2014

By Tanya Angerer

 

The co. does not have a robust business profile: Macgregor

“We are not comfortable with the weak covenant package and the lack of transparency,” Macgregor wrote. “We also feel agency ratings are too generous given the business risk profile. We would be more comfortable with a corporate rating of B+.”

The $275m 7NC3 bond could be priced between 10-12%, versus market talk of 7-8%, Lucror says in report today

U.S. investors “very interested” in deal: report

 

NOTE:

Pactera Plans to Sell $275m 7NC3 Sr Sec Notes to Fund Buyout