HCA Healthcare plans to offer two batches of senior notes worth nearly $2.4 billion to repay a portion of nearly $2.6 billion in senior secured term loans.
HCA leadership will sell the debt under two notes. The first, for $850 million, will be due in 2031 and carry a yield to maturity of 2.4 percent. The second, for $1.5 billion, will be due in 2051 and carry a yield to maturity of 3.5 percent.
Net proceeds of the sale are estimated to be $2.3 billion. That money will be used to repay a $1.5 billion senior secure term loan B-12 facility and a $1.1 billion senior secured term loan B-13 facility, and for general corporate purposes, according to an SEC filing.
Shares of HCA were trading hands for $209.84 after close Tuesday night. The stock price is down 2 percent from an all-time high recorded at the beginning of June.
Ardent privately offers $300M in debt
Ardent Health Services is privately offering $300 million in senior unsecured notes from subsidiary AHP Health Partners, due 2029.
Ardent leadership will use proceeds from the sale, alongside cash on hand, to pay off $475 million in outstanding senior unsecured notes due 2026 and that carry a 9.75 percent interest rate.
The 2026 note was also used to refinance existing debt in 2018, as well as provide working capital.