MISSION VIEJO, Calif., July 22, 2016 (GLOBE NEWSWIRE) -- The Ensign Group, Inc. (Nasdaq:ENSG) announced today that Ensign and its operating subsidiaries increased their credit facility by $200 million to an aggregate of $450 million. The borrowings are supported by a lending consortium arranged by SunTrust Robinson Humphrey, Inc. and Wells Fargo Securities, LLC.
The new facility matures on February 5, 2021 and includes a $300 million revolving line of credit and a new $150 million term loan component, which will be deployed immediately to pay down previously drawn amounts on Ensign's revolver. The credit facility also includes a $150 million expansion option, among other things.
"These new borrowings further strengthen our long-term capital structure and, together with our strong operating performance, provide excellent flexibility in an ever-changing healthcare environment," said Suzanne Snapper, Ensign's Chief Financial Officer. "We appreciate the continued support of our banking partners and we look forward to working with them further as we continue our strategy of disciplined growth," she added.
Snapper confirmed that in addition to refinancing some existing borrowings, the proceeds of the credit facility will be used to fund acquisitions, renovate and upgrade existing and future facilities, cover working capital needs and for other business purposes.
The Ensign Group, Inc.'s independent operating subsidiaries provide a broad spectrum of skilled nursing and assisted living services, physical, occupational and speech therapies, home health and hospice services, urgent care services and other rehabilitative and healthcare services at 207 operations, sixteen hospice agencies, seventeen home health agencies, three home care businesses and fourteen urgent care clinics in California,
Arizona, Texas, Washington, Utah, Idaho, Colorado, Nevada, Iowa, Nebraska, Oregon, Wisconsin, Kansas and South Carolina. More information about Ensign is available at http://www.ensigngroup.net.
About SunTrust Robinson Humphrey
SunTrust Robinson Humphrey® is the trade name for the corporate and investment banking services of SunTrust Banks, Inc. and its subsidiaries. Securities and strategic advisory services are provided by SunTrust Robinson Humphrey, Inc., member FINRA and SIPC. │ SunTrust Robinson Humphrey has extensive experience working with public and private companies of all sizes - from emerging growth to the Fortune 500. SunTrust Robinson Humphrey offers a complete array of solutions for companies across all industries while providing in-depth industry expertise and dedicated corporate and investment
banking practices for certain core sectors, including business services, financial sponsors, building products, healthcare, consumer and retail, media and communications, energy, transportation, financial services and technology, and real estate. SunTrust Robinson Humphrey's internet address is www.suntrustrh.com.
About Wells Fargo Securities
Wells Fargo Securities delivers a comprehensive set of capital markets and advisory products and services, including debt and equity origination and distribution, investment research and economic insights, interest rate, commodity and equity risk management, structured lending facilities,
securitization, prime brokerage, clearing and fund services. Wells Fargo Securities is comprised of nearly 4,800 team members in 40+ offices across North America, Europe and Asia. Wells Fargo Securities is the trade name for the capital markets and investment banking services of Wells Fargo & Company and its subsidiaries, including Wells Fargo Securities, LLC, a CFTC registered futures commission merchant and a member of NYSE, FINRA, NFA and SIPC, Wells Fargo Securities International Limited which is authorized and regulated by the UK Financial Conduct
Authority and Wells Fargo Bank, National Association. Wells Fargo Securities, LLC and Wells Fargo Securities International Limited are distinct entities from affiliated banks and thrifts.