Specialty equipment rental company NESCO LLC is proposing a senior note offering to refinance a portion of existing debt and fund a one-time dividend. At the same time, Standard & Poor’s assigned a B- preliminary issue rating to the proposed new $275 million senior secured second-lien notes due 2017.
The company is expected to use proceeds to repay its existing bridge financing, pay down a portion of its balance under its existing asset-based loan facility and fund a $60 million dividend to its equity sponsor Platinum Equity and management.
NESCO operates from 32 locations across the United States and Canada and manages an equipment fleet of more than 2,000 units
Based in Bluffton, Ind., NESCO carries bucket trucks, digger derricks, truck cranes, aerial work platforms, sign trucks, pullers, tensioners, reel trailers, underground equipment, service and utility trucks, track equipment, augers and more, primarily serving the electrical power transmission and distribution industry.