Omnicell five-year $400 million loan package supports Aesynt purchase

By Wendy Van Sickle

Columbus, Ohio, Jan. 6 – Omnicell, Inc. entered into an a five-year credit agreement for a $200 million revolving credit facility and a $200 million term loan on Tuesday, according to an 8-K filed with the Securities and Exchange Commission.

Borrowings bear interest at Libor plus a margin of 150 basis to 225 bps, based on the company’s consolidated total net leverage ratio. The initial margin is 175 bps. The commitment fee is initially 25 bps per year and ranges from 20 bps to 35 bps, depending on consolidated leverage ratio.

The facility has $10 million sub-limits for letters of credit and swingline loans.

Wells Fargo Securities, LLC acted as sole lead arranger and sole bookrunner; Wells Fargo Bank, NA as administrative agent; JPMorgan Chase Bank, NA as syndication agent; and Bank of the West, Fifth Third Bank, MUFG Union Bank, NA and SunTrust Bank as co-documentation agents.

The term loan facility will amortize in quarterly installments of 5% per annum of the original principal amount during the first two years, increasing to 10% during the third and fourth years and 15% in the fifth year, with the remaining balance due at maturity on Jan. 5, 2021.

At closing, Omnicell borrowed the full amount of the term loan and $55 million under the revolver to acquire all of the membership interests of Aesynt Holding Cooperatief UA, a provider of pharmacy automation and information management tools for healthcare organizations, and to pay related fees and expenses.

Future revolver proceeds are to be used for general corporate purposes.

The credit agreement replaces the company’s existing credit agreement, dated Sept. 25, 2013 with Wells Fargo Bank, NA as administrative agent.

Omnicell is a Mountain View, Calif.-based company that provides automated services for medication and supply management in health care in the United States and internationally.

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