Jeld-Wen Inc. faces a bad financial picture while marketing junk bonds to refinance $1.2 billion in debt.
Jeld-Wen Inc., Oregon’s largest privately-held company, faces a bad financial picture while marketing junk bonds to refinance $1.2 billion in debt.
Standard & Poor’s Ratings Services has assigned a preliminary CCC-plus rating to $575 million in bonds that Jeld-Wen Chief Executive Rod Wendt is out trying to sell. His pitch comes at a difficult moment: Investors fled high-yield bonds Monday, seeking safer bets as stocks plunged on Wall Street.
S&P’s report paints a more dire picture of Jeld-Wen, based in Klamath Falls, than the company has presented as it prepares for an $864 million infusion from Onex Corp., a Toronto private equity firm. Overall, S&P gives the door-and-window maker a B-minus preliminary corporate-credit rating because of highly leveraged financial risk, large debt and relatively modest cash flow.
Read more at OregonLive.com.
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