Fifth Street Management announced that it provided a one-stop financing facility for First Choice Emergency Room. Fifth Street Finance Corp. funded a $75 million term loan at close, which will be utilized to support First Choice ER’s continued growth.
The First Choice ER deal represents Fifth Street’s fourth transaction in the last 12 months with Sterling Partners, a private equity firm with more than $5 billion in assets under management and a track record for growing innovative companies. The transaction also epitomizes the increased deal flow Fifth Street is seeing overall, in part to the platform’s enhanced ability to provide custom-tailored financing solutions up to $500 million.
“First Choice ER provides communities with much needed additional access to emergency care and ranks in the top one percentile of patient care nationally, according to patient feedback gathered by Press Ganey,” said Danny Rosenberg, managing director of Sterling Partners. “As First Choice ER further solidifies its leadership position as the oldest and largest freestanding emergency room system, Fifth Street delivers everything we want in a lending partner-agility, dependability and balance sheet strength.”
“Multiple credit lines, including the recent upsizing of FSC’s ING-led credit facility, and a robust capital markets presence have strengthened our ability to offer sponsors substantial commitment sizes,” said Fifth Street CEO Leonard Tannenbaum.
Sunny Khorana, a partner of Fifth Street, added, “This facility represents an exciting transaction for the Fifth Street platform and our growing relationship with Sterling Partners. For us, it always has been and always will be about providing dynamic financing solutions to our private equity sponsors.”
First Choice Emergency Room is a freestanding emergency room system.