Acadia Healthcare closes on $1.03 billion credit facility with BofA

Chicago, March 22 – Acadia Healthcare Co. Inc. closed on a new credit facility comprised of a $600 million revolver and a $425 million senior secured term loan with Bank of America, NA listed as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

The transaction closed on March 17.

Both the revolver and term loan mature March 17, 2026.

The revolver can have $20 million utilized for letters of credit, and there is availability for a swingline facility under which the company may make short-term borrowings for up to $20 million.

The interest rate is Libor plus 175 basis points and the revolver has an unused commitment fee of 25 bps.

Proceeds will be used to refinance and terminate the company’s existing credit facilities from Dec. 31, 2012 and finance the redemption of all of the company’s outstanding 5 5/8% senior notes due 2023. Borrowing under the revolver may also be used for working capital and other general corporate purposes of the company and its subsidiaries.

Based on leverage not exceeding 3.5x, the company may borrow an additional $480 million under either part of the facility.

Bank of America, in addition to its listing as administrative agent, is also the swingline lender and letter-of-credit issuer.

Co-syndication agents are Capital One, NA, Citibank, NA, Credit Agricole CIB, Fifth Third Bank, NA, JPMorgan Chase Bank, NA, Truist Bank and Wells Fargo Securities, LLC.

Co-documentation agents are Bank of Montreal, Barclays, Citizens Bank, NA, Goldman Sachs Bank USA, MUFG Union Bank, NA, Regions Bank, Sumitomo Mitsui Banking Corp., TD Securities (USA) LLC and Huntington National Bank.

Joint lead arrangers and joint bookrunners are BofA Securities, Inc., Capital One, NA, Citibank, NA, Credit Agricole Securities (USA) Inc., Fifth Third Bank, NA, JPMorgan Chase Bank, NA, Truist Securities, Inc. and Wells Fargo Securities, LLC.

Acadia is a Franklin, Tenn.-based provider of inpatient and outpatient behavioral health care services.

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