Community Health lifts term F to $1.7 billion, revises OID to 99¼

By Sara Rosenberg

New York, March 4 – Community Health Systems Inc. upsized its term loan F due December 2018 to $1.7 billion from $1.66 billion and tightened the original issue discount to 99¼ from 99, according to a market source.

Pricing on the term loan remained at Libor plus 325 basis points with no Libor floor, and there is still 101 soft call protection for six months.

Credit Suisse Securities (USA) LLC is the lead bank on the deal.

Proceeds will be used to refinance/extend the existing $1.66 billion term loan E that is due in January 2017 and is priced at Libor plus 325 bps with no Libor floor.

As before, the company is also seeking to amend its existing credit agreement to change the springing maturity to three months prior to any material debt maturity.

An amendment fee of 5 bps is being offered to consenting term loan D lenders.

Recommitments and consents are due at noon ET on Thursday, the source added.

Community Health is a Nashville, Tenn.-based hospital company.

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