U.S. Renal Care completed a debt refinancing transaction which meaningfully reduces the company’s total debt, lowers its interest burden, increases liquidity, and enhances future growth, according to a press release.
The transaction extends the maturities of term loans through June 2028. USRC closed the refinancing transaction with the support of approximately 84% of its term lenders, and all other term loan holders are being offered the opportunity to participate on the same terms. A majority of existing bondholders also participated in the transaction, exchanging their shorter dated bonds for a combination of cash and longer maturity term bonds.
This debt financing is the second phase of the Company’s plan to enhance its capital structure. In May 2023, USRC announced that it raised $328 million in new capital to further enable its growth and expansion plans. The new capital is slated for investment in programs focused on innovation and delivery of high-quality kidney care, as well as enhanced professional development for USRC’s care teams. Through this latest transaction, the Company will reduce annual interest expense by approximately 20 percent. Read more.
