S&P Global Downgrades Advantage Solutions Amid Debt Restructuring Concerns

S&P Global Ratings has downgraded the credit rating of Advantage Solutions Inc. and placed the company on CreditWatch with negative implications. The rating action follows growing uncertainty regarding a proposed debt exchange offer involving a $1.1 billion term loan and $595 million in senior notes. Analysts at S&P highlighted that the success of this restructuring is critical to the company's financial stability moving forward. Furthermore, the agency projects a decline in both revenue and EBITDA for the fiscal years 2025 and 2026. These forecasts are driven by challenging industry conditions that are expected to weigh heavily on operational performance. Consequently, the downgrade reflects heightened credit risks and potential increases in future borrowing costs for the firm.