Peach Holdings Inc. Ratings Downgraded
Peach is working toward repurchasing a portion of its outstanding term loan at a significant discount. In line with our criteria, we would consider such a repurchase as a distressed debt repurchase.
We are downgrading our ratings, including the counterparty credit rating, on Peach Holdings Inc. to ‘CC’ from ‘B’. The rating remains on CreditWatch with negative implications.
If Peach is unable to proceed with the debt repurchase, we believe the company could be in violation of its leverage covenant within the next several quarters.