BofA, U.S. Bank Agent Apria Healthcare Debt Refinancing
Apria Healthcare Group announced that it entered into a credit agreement with Bank of America as administrative agent and U.S. Bank as collateral agent providing for a term loan credit facility in an aggregate principal amount of $900 million. Bank of America, Goldman Sachs Bank USA, Barclays Bank, Wells Fargo Securities and Macquarie Capital (USA) acted as joint lead arrangers and joint bookrunners.
In addition, the company issued notices of redemption with respect to $700 million aggregate principal amount of the company’s outstanding 11.25% Senior Secured Notes due 2014 (Series A-1) and $160 million aggregate principal amount of the company’s outstanding 12.375% senior secured notes due 2014 (Series A-2). All outstanding Series A-1 notes and $160 million aggregate principal amount of Series A-2 notes will be redeemed on May 6, 2013.
The Company used the proceeds from the borrowings under the credit agreement to: (i) deposit with the trustee funds for the redemption of the Series A-1 notes and to satisfy and discharge the company’s obligations with respect to the Series A-1 notes in accordance with the terms of the indenture governing the Series A-1 notes; (ii) deposit with the trustee funds for the redemption of $160 million aggregate principal amount of the Series A-2 notes and (iii) pay fees and expenses in connection with the refinancing transaction described above.