Nashville, TN: Envision Healthcare, a leading national medical group, today announced that certain of its subsidiaries entered into new senior secured first and second lien financing facilities. The new first lien credit facility in the aggregate amount of $1.3 billion consists of an initial $1.1 billion funding and a $200 million delayed draw term loan. Separately, the new second lien facility consists of loans in the aggregate amount of approximately $1.3 billion. 

The new first lien credit facility provides Envision with $1.1 billion in immediate incremental capital, with up to $200 million in additional capital, to invest in the business and pursue growth opportunities. This includes strengthening services for the millions of patients who count on Envision Healthcare, continuing to provide resources for clinicians and investing in the teams who support both. 

The new first lien credit facility also provides a level of stability through the uncertainty facing the healthcare industry.

Envision Healthcare used proceeds from the new second lien facilities to consummate negotiated repurchases of approximately $1.5 billion in principal amount of its outstanding first lien term loan B due 2025 at a blended price equal to 66 percent of the applicable principal amount, $326 million in principal amount of its outstanding incremental term loans due 2025 at a price equal to 90 percent of the applicable principal amount, and $87 million in principal amount of its senior unsecured notes at a price equal to 46 percent of the applicable principal amount. The new first and second lien debt instruments will allow Envision Healthcare to potentially complete further value-accretive open market purchases of its existing debt in the future, thereby strengthening its capital structure.

“We believe these financing transactions will provide our organization with financial flexibility and growth opportunities,” said Jim Rechtin, Chief Executive Officer of Envision Healthcare. “Our priority is to continue to focus on providing high-quality care to patients, investing in our teams and caring for communities.”

Envision Healthcare is a leading national medical group serving hospitals and healthcare systems in specialties such as anesthesiology, emergency medicine, hospital medicine, radiology, surgery and women’s and children’s care. It also operates more than 250 ambulatory surgery centers across 34 states through its AMSURG business. The 25,000 clinicians with Envision deliver care to more than 30 million patients every year.

The organization’s investment banker is PJT Partners LP, its financial advisor is Alvarez & Marsal LLC and its legal advisor is Kirkland & Ellis LLP.

Investor Relations Contact:

Jason Charpentier
SVP, Treasury
InvestorRelations@envisionhealth.com

Media Relations Contact:

Amanda Demarest
Sr. Director, Corporate Communication
media@envisionhealth.com