New Issue: Acadia prices $150 million 12 7/8% seven-year senior notes at 98.323 to yield 13¼%

By Paul A. Harris

Portland, Ore., Oct. 27 - Acadia Healthcare Co. Inc. priced a $150 million issue of 12 7/8% seven-year senior notes (B3/B-/) at 98.323 to yield 13¼% on Thursday, according to an informed source.

The coupon came at the wide end of the 12¾% coupon talk. The reoffer price came cheap to discount talk of up to 1.25 points.

Jefferies & Co., Inc. ran the books.

The Franklin, Tenn.-based inpatient behavioral health care services provider plans to use the proceeds to consummate its merger with Peabody, Mass.-based Pioneer Behavioral Health, a behavioral health care services provider.

Issuer:	Acadia Healthcare Co. Inc.
Face amount:	$150 million
Proceeds:	$147.5 million
Maturity:	Nov. 1, 2018
Securities:	Senior notes
Bookrunner:	Jefferies & Co., Inc.
Coupon:	12 7/8%
Price:	98.323
Yield:	13¼%
Call features:	Make-whole call at Treasuries plus 50 bps until Nov. 1, 2015, then callable at 106.438, 103.219, par on and after Nov. 1, 2017
Equity clawback:	35% at 112.875 until Nov. 1, 2014
Change-of-control put:	101%
Trade date:	Oct. 27
Settlement date:	Nov. 1
Ratings:	Moody's: B3
	Standard & Poor's: B-
Distribution:	Rule 144A with registration rights and Regulation S
Price talk:	12¾% coupon plus up to 1.25 points OID
Marketing:	Roadshow

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.