Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers O > Headlines for Owens & Minor Inc. > News item |
Owens & Minor plans $1.9 billion term loan B for Apria purchase
By Sara Rosenberg
New York, Jan. 10 – Owens & Minor Inc. has received a commitment for a $1.9 billion term loan B to help fund its acquisition of Apria Inc., according to an 8-K filed with the Securities and Exchange Commission on Monday.
The company also has a commitment for a $35 million increase to its currently $300 million revolving credit facility and an agreement to arrange on a best-efforts basis an additional $65 million revolver increase.
JPMorgan Chase Bank provided the debt commitment.
Under the agreement, Apria is being bought for $37.50 in cash per share of common stock, representing an equity value of $1.45 billion and a total transaction value of $1.6 billion, including the assumption of debt and cash.
Closing is expected in the first half of this year, subject to regulatory approvals, Apria stockholder approval and other customary conditions.
Leverage is expected to be just under 4x TTM adjusted EBITDA. The plan is to deleverage to within the 2x to 3x range within 24 months.
Owens & Minor is a Richmond, Va.-based health care solutions company. Apria is an Indianapolis-based provider of integrated home health care equipment and related services.
© 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.