S&P Global Ratings has placed NewStar Financial Inc.'s BB- issuer credit rating on CreditWatch with positive implications.

The CreditWatch placement follows the announcement that First Eagle Investment Management LLC has agreed to acquire NewStar Financial, pursuant to which NewStar Financial would concurrently sell an about $2.4 billion portfolio of assets to a newly formed investment fund managed by GSO Capital Partners LP, S&P said.

The rating agency added that the CreditWatch positive reflects the agreement for NewStar Financial to be acquired by a higher rated entity and the expected payoff of its senior unsecured and subordinated notes. S&P expects to resolve the CreditWatch listing once the transaction is completed.

S&P Global Ratings and S&P Global Market Intelligence are owned by S&P Global Inc.