Daily News: March 28, 2012

Skilled Healthcare Group Adds on $100 Million to Credit Facility

Skilled Healthcare Group, Inc. announced that the company is launching an anticipated $100 million increase in its existing senior secured term loan. J.P. Morgan Securities and Credit Suisse Securities (USA) will act as joint bookrunners and joint lead arrangers for the incremental term loan.

The company intends that all of the net proceeds from the increased borrowing will be used to partially fund the company’s anticipated redemption of the outstanding $130 million of its 11% senior subordinated notes, which are currently redeemable at par. The company anticipates that the remaining amount required to redeem the senior subordinated notes will be funded with a draw on the Company’s $100 million revolving credit facility. The senior subordinated notes are scheduled to mature on January 15, 2014. The company’s term loan has a maturity date of April 9, 2016, and the company does not anticipate that maturity date changing in connection with the increase in the term loan.

Skilled Healthcare Group, Inc., based in Foothill Ranch, CA, is a holding company with subsidiary healthcare services companies that operate long-term care facilities and provide a wide range of post-acute care services.