Nashville, Tenn.-based Amsurg's New Amethyst Corp. proposed a private offering of $750 million aggregate principal amount of senior unsecured notes, which will be due in 2024.
Here are five key points:
1. This news relates to the proposed merger of Envision Healthcare and AmSurg. New Amethyst Corp. is a wholly owned subsidiary of Amsurg, but will be renamed Envision Healthcare Corp.
2. Envision Healthcare Corp. will use the net proceeds from the offering to repay its indebtedness under its term loan and asset-based facilities.
3. The company will also put the net proceeds toward purchasing or redeeming AmSurg's nearly 5.63 percent senior notes due in 2020.
4. Additionally, the net proceeds will go toward repaying Amsurg's indebtedness under its term loan and revolving loan facilities; paying transaction fees and expenses; and working capital.
5. Once the merger is finalized, Envision Healthcare Corp. will take on obligations under the new term loan facility. Envision Healthcare Corp.'s domestic subsidiaries will guarantee the notes.