Chemed Corporation announced that it entered into an amended and restated credit agreement for its revolving credit facility. JPMorgan Chase Bank acted as the administrative agent and J.P. Morgan Securities and Merrill Lynch, Pierce, Fenner & Smith acted as joint lead arrangers and joint bookrunners for this transaction. Bank of America was the syndication agent and U.S. Bank was the documentation agent.
Terms of the credit agreement consist of a five-year $350 million revolving credit facility. The interest rate on this credit agreement has a floating rate that is LIBOR plus 125 basis points. An expansion feature is included that provides Chemed the opportunity to increase its revolver and/or enter into term loans for an additional $150 million.
The amended facility provides Chemed with lower borrowing spreads and continued flexibility in terms of acquisitions, share repurchases, dividends and other corporate needs.
Cincinnati, OH-based Chemed Corporation, through its subsidiaries, VITAS Healthcare and Roto-Rooter, provides hospice care and plumbing and drain cleaning services in the U.S.