GE Capital Agents $725MM in Facilities for Genesis HealthCare
GE Capital, Healthcare Financial Services said it is serving as administrative agent on a $400 million asset-based revolving credit facility, and as syndication agent on a $325 million cash flow term loan credit facility, for Genesis HealthCare. The financing was used to support Genesis’ acquisition of Sun Healthcare Group.
GE Capital Markets served as joint lead arranger and sole bookrunner for the revolving loan and joint lead arranger and joint bookrunner on the term loan.
Headquarter in Kennett Square, PA, Genesis is one of the nation’s largest providers of skilled nursing and rehabilitation care. Based in Irvine, CA, Sun is a healthcare services company primarily serving the senior population. The merger of the two companies has created one of the largest skilled nursing providers in the country, with 422 skilled nursing centers in 29 states. It has also expanded Genesis’ rehabilitation therapy business to more than 1,500 contracts in 46 states.
“We’ve been working with the healthcare finance specialists at GE Capital for over 10 years, so they know us well and continue to work hard to help us meet our goals,” said Tom DiVittorio, chief financial officer for Genesis. “This financing allows us to take advantage of an attractive acquisition opportunity to expand our geographic footprint and realize significant operating efficiencies.”
“The combination of healthcare knowledge and structuring expertise means our customers have access to the capital they need to fund growth and other strategic initiatives,” said Al Aria, senior managing director of Corporate Finance at GE Capital, Healthcare Financial Services. “We’re pleased to support Genesis during this exciting time in their company’s history.”