AMN Healthcare Completes Credit Agreement With SunTrust
AMN Healthcare Services, Inc., a provider in healthcare workforce solutions, announced that it has refinanced its existing credit facilities with a new $250 million credit agreement.
The new credit agreement consists of a $200 million secured term loan and $50 million secured revolving line of credit, maturing in April 2018 and April 2017, respectively. The term loan will initially bear interest at LIBOR plus 475 basis points, with a 1.25% LIBOR floor, and the revolving line of credit will initially bear interest at LIBOR plus 425 basis points. Both facilities have interest rate step downs based on the company’s financial leverage.
SunTrust Bank acted as administrative agent for the lenders.
“Our new credit agreement significantly reduces our average cost of debt, extends our debt maturity, and provides a more flexible covenant structure,” said Brian M. Scott, CFO of AMN Healthcare. “We believe the combination of a favorable financing market, AMN’s improved financial performance and a positive industry outlook made this the appropriate time to refinance our credit facilities. For the foreseeable future, we intend to continue utilizing our improving free cash flow to reduce our long-term debt balance.”