Akumin gets commitment letter for $380 million of credit facilities

By Sarah Lizee

Olympia, Wash., April 15 – Akumin Inc. said it entered into a binding commitment letter with BBVA Compass and BBVA Securities Inc. for $380 million of credit facilities in connection with the company’s agreements to acquire 27 imaging centers operated under Advanced Diagnostics Group, the imaging centers of West Palm and Elite Radiology of Georgia.

The facilities consist of a $330 million term facility and a $50 million revolver.

Proceeds from the term loan will be used to refinance about $112 million of existing debt and to finance $189 million of the purchase price of the acquisitions, with the balance to be used for other potential acquisitions in the future. Revolver proceeds will be used primarily to fund future acquisitions.

The total purchase price for the imaging centers is about $214 million. Under the purchase agreements, Akumin will acquire all of the issued and outstanding equity interests of ADG Acquisition Holdings, Inc., TIC Acquisition Holdings, LLC and SFL Radiology Holdings, LLC.

Toronto-based Akumin is a provider of freestanding, fixed-site outpatient diagnostic imaging services in the United States.

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