SunTrust, Wells Arrange $75MM Increase to Ensign Facility
The Ensign Group announced that the company and its operating subsidiaries increased its revolving credit facility from a six-bank lending consortium arranged by SunTrust Robinson Humphrey and Wells Fargo Securities by $75 million to an aggregate of $150 million, $20 million of which was drawn as of February 1, 2013.
The amendment also extended the maturity date on its $75 million term loan and the termination date for the revolving commitment to February 1, 2018.
“This credit facility further strengthens our long-term capital structure and, together with our strong cash flow, extends Ensign’s ability to continue expanding our portfolio of healthcare facilities and companies,” said Suzanne Snapper, Ensign’s CFO. “The continued confidence shown by our banking partners is a testament to Ensign’s strong balance sheet and solid operating history, and we look forward to working with them further as we continue our strategy of disciplined growth.”
The proceeds of the credit facility will be used to fund acquisitions, renovate and upgrade existing and future facilities, cover working capital needs and for other corporate purposes.
The Ensign Group’s independent operating subsidiaries skilled nursing and assisted living services; physical, occupational and speech therapies; home health and hospice services; urgent care services; and other rehabilitative and healthcare services.
SunTrust Robinson Humphrey is the corporate and investment banking arm of SunTrust Banks that provides comprehensive capital raising, strategic advisory, risk management and investment solutions.
Wells Fargo Securities offers debt and equity underwriting, trading, research and sales, loan syndications agent services and corporate finance and M&A advisory services.