MECHANICSBURG, Pa.,
Dec. 5, 2019 /PRNewswire/ -- Select
Medical Holdings Corporation ("Holdings") (NYSE: SEM), today
announced that Select Medical Corporation ("Select") proposes to
commence an offering through a private placement, subject to market
and other conditions, of $625 million
aggregate principal amount of 6.250% senior notes due 2026. It is
anticipated that the notes will be issued as additional notes under
the same indenture as Select's existing $550
million aggregate principal amount of 6.250% senior notes
due 2026 that were originally issued on August 1, 2019 and, as such, will form a single
series and trade interchangeably with such previously issued notes.
The notes will be senior unsecured obligations of Select and will
be guaranteed by certain of Select's subsidiaries.
Select intends to use a portion of the net proceeds of the
offering, together with a portion of the proceeds from a proposed
incremental term loan, and, if needed, available cash, to make an
intercompany loan to Concentra, Inc. ("Concentra"), a joint venture
subsidiary of Select, which will use the proceeds from such
intercompany loan to repay in full all of Concentra's outstanding
term loans, and to pay related fees and expenses.
The notes and related guarantees are being offered in a private
placement, solely to qualified institutional buyers in reliance on
Rule 144A under the Securities Act of 1933, as amended (the
"Securities Act"), or outside the United
States to persons other than "U.S. persons" in compliance
with Regulation S under the Securities Act. The notes and related
guarantees have not been registered under the Securities Act or the
securities laws of any other jurisdiction and may not be offered or
sold in the United States absent
registration or an applicable exemption from the registration
requirements.
This notice does not constitute an offer to sell the notes, nor
a solicitation for an offer to purchase the notes, in any
jurisdiction in which such offer or solicitation would be unlawful.
Any offer of the notes will be made only by means of a private
offering memorandum. This press release is being issued pursuant to
and in accordance with Rule 135c under the Securities Act.
Investor inquiries:
Joel T. Veit
Senior Vice President and Treasurer
717-972-1100
ir@selectmedicalcorp.com
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SOURCE Select Medical Holdings Corporation