Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

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Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Trung Nguyen

Senior Credit Analyst

Debt Capital Markets

Interplex Holdings / Debt Capital Markets

Interplex Holdings is planning to issue up to USD 250 mn of 3-year Notes under a proposed MTN programme (up to USD 550 mn). We view the company as "Medium Risk" on the LARA scale. Our assessment reflects risks associated with the: [1] small scale nature of the company; [2] fragmented industry structure; [3] weak financial risk profile; and [4] weak covenant package, with potential for cash slippage to the owner, together with structural subordination to subsidiary creditors. Our view also considers strengths associated with Interplex's: [1] niche position within its industry, with a stable customer base and moderate barriers to entry; [2] geographically diverse operations; and [3] sound corporate governance and management team. Our Credit Bias for Interplex is "Stable". We foresee that management will work to reduce leverage on the back of free cash generation, absent any negative external factors. We view Interplex as “Moderate” on the LAGA scale. This takes into account that: [1] the company is 100% owned by Baring Private Equity Asia (Baring Asia); such firms tend to seek a return on capital within a specified period, which may not align with the interests of Noteholders, albeit Baring Asia has a sound track record (Weak/Moderate); [2] Alessandro Perrotta, who has been CEO since 2016, has a long history in senior management with similar companies (Moderate); [3] five of the six Board members are non-executive directors, all of whom have strong industry backgrounds (Moderate); [4] senior management is a mix of long-term employees (including the CFO) and Baring Asia appointees (Moderate); [5] there are no material related party transactions (Neutral). We believe the Interplex 3-year Notes will price at around 7%, given the weak sentiment in the HY market.

  Interplex Holdings is planning to issue up to USD 250 mn of 3-year Notes under a proposed MTN programme (up to USD 550 mn).   We view the company as "Medium Risk" on the LARA scale. Our assessment reflects risks associated with the: [1] small scale nature of the company; [2] fragmented industry structure; [3] weak financial risk profile; and [4] weak covenant package, with potential for cash slippage to the owner, together with structural subordination to subsidiary creditors. Our view also considers strengths associated with Interplex's: [1] niche position within its industry, with a stable customer base and moderate barriers to entry; [2] geographically diverse operations; and [3] sound corporate governance and management team.   Our Credit Bias for Interplex is "Stable". We foresee that management will work to reduce leverage on the back of free cash generation, absent any negative external factors.   We view Interplex as “Moderate” on the LAGA scale. This takes into account that: [1] the company is 100% owned by Baring Private Equity Asia (Baring Asia); such firms tend to seek a return on capital within a specified period, which may not align with the interests of Noteholders, albeit Baring Asia has a sound track record (Weak/Moderate); [2] Alessandro Perrotta, who has been CEO since 2016, has a long history in senior management with similar companies (Moderate); [3] five of the six Board members are non-executive directors, all of whom have strong industry backgrounds (Moderate); [4] senior management is a mix of long-term employees (including the CFO) and Baring Asia appointees (Moderate); [5] there are no material related party transactions (Neutral).   We believe the Interplex 3-year Notes will price at around 7%, given the weak sentiment in the HY market. 

Interplex Holdings - New Issue Assessment - Lucror Analytics