BANGALORE (Thomson Financial) - Moody's Investors Service said it placed CSK
Auto Inc.'s ratings on review for possible upgrade, following a agreement under
which O'Reilly Automotive Inc. will acquire the company for about $1 billion and
assume aroudn $500 million in debt.
The ratings placed on review for upgrade include probability of default
rating at 'B1', corporate family rating at 'B1', $350 million senior secured
bank term loan at 'Ba3' and $100 million senior unsecured convertible notes at
'B3', Moody's said.
The ratings agency also affirmed the SGL-3 speculative grade liquidity
rating.
Moody said it expects the combined company to have lower leverage and better
credit metrics than CSK does on a standalone basis.
TFN.newsdesk@thomson.com
bsu/ssa
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