U.S. Physical Therapy closed a $325 million, five-year credit facility that includes a $150 million term loan and a $175 million revolver. The credit facility was upsized from its $300 million launch. This is an increase and extension of the company’s previous $150 million credit facility.
The company also announced that it entered into an interest rate swap agreement in May, with a June 30 effective date, to lock the 1-month term SOFR rate on $150 million of its debt at a 5-year swap rate of 2.815%. The total interest rate in any particular period will also include an applicable margin based on the company’s consolidated leverage ratio.
The credit facility was arranged by BofA Securities and Regions Capital Markets as joint lead arrangers. BofA Securities was sole bookrunner, and Bank of America, N.A. is the administrative agent. Read more.
