Daily News: October 26, 2017

Barclays Agents $75MM Civitas Term Loan Supporting Mentis Acquisition

Civitas Solutions entered an amendment to its credit agreement with Barclays as administrative agent, providing for an additional $75 million term loan.

Proceeds of the term loan were used by Civitas to pay the purchase price for the acquisition of Mentis Neuro Rehabilitation, a provider of specialty-rehabilitation services for individual recovering from acquired brain injuries with services in Texas and Ohio.

The amendment also decreased the applicable interest margin for the tranche B term loans under the senior credit agreement by 25 basis points for both ABR borrowings and Eurodollar borrowings and reduced the Eurodollar floor by 25 basis points.

As a result, the applicable margin for tranche B term loans designated as ABR borrowings will be 2.00% and the applicable margin for tranche B term loans designated as Eurodollar borrowings will be 3.00% (subject to a 0.75% Eurodollar floor).

The interest rate for the revolving credit facility under the agreement remained unchanged.

Civitas Solutions is a provider of home- and community-based health and human services to must-serve individuals with intellectual, developmental, physical or behavioral disabilities and other special needs.