ALHAMBRA, Calif., June 17, 2021 /PRNewswire/ -- Apollo Medical
Holdings, Inc. ("ApolloMed," and together with its subsidiaries and
affiliated entities, the "Company") (NASDAQ: AMEH), a leading
physician-centric, technology-powered healthcare company focused on
enabling providers in the successful delivery of value-based care,
today announced that on June 16,
2021, it completed the successful refinancing of its
existing term loan and revolving credit facility with a new
five-year revolving credit facility of $400.0 million, which includes a letter of credit
sub-facility of up to $25.0 million
and a swingline loan sub-facility of $25.0
million.
Available cash of $58.7 million
and a portion of the new revolving credit facility were used to pay
off the Company's existing and remaining $175.8 million term loan and $60.0 million drawn on the prior revolving credit
facility maturing in September 2024.
The new revolving credit facility will also be used to finance
future acquisitions and investments and provide for working capital
needs and other general corporate purposes. Any amounts borrowed
under the revolving credit facility will bear interest at a rate of
LIBOR plus 1.25%-2.5% or a base rate plus 0.25%-1.5% (determined on
a quarterly basis based on the Company's leverage ratio).
Kenneth Sim, M.D., Executive
Chairman and Co-Chief Executive Officer of ApolloMed, stated, "We
are pleased to have completed this debt refinancing as we take
proactive steps to enhance our ability to invest in growth while
reducing our annual interest rate spread by 50 basis points on the
initial $180.0 million drawdown and
increasing our overall financial flexibility with respect to
covenants and liquidity. This refinancing puts ApolloMed in a more
advantageous position as we look to accelerate the growth of our
business in 2021 and drive increasing value to shareholders."
Truist Bank served as administrative agent for the new facility.
Truist Securities, Inc. led an arranger group that also included
JPMorgan Chase Bank, MUFG Union Bank, Preferred Bank, Royal Bank of
Canada and Fifth Third Bank. Wells
Fargo, Bank of the West, City
National Bank and TD Bank were also lenders in the transaction.
About Apollo Medical Holdings, Inc.
ApolloMed is a
leading physician-centric, technology-powered, risk-bearing
healthcare company. Leveraging its proprietary end-to-end
technology solutions, ApolloMed operates an integrated healthcare
delivery platform that enables providers to successfully
participate in value-based care arrangements, thus empowering them
to deliver high quality care to patients in a cost-effective
manner.
Headquartered in Alhambra,
California, ApolloMed's subsidiaries and affiliates include
management services organizations (MSOs), affiliated independent
practice associations (IPAs) and a Next Generation Accountable Care
Organization (NGACO). For more information, please visit
www.apollomed.net.
Forward Looking Statements
This press release
contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, such as statements
about ApolloMed's acquisition and investment strategy, ability to
deliver sustainable long-term value, operational focus and
strategic growth and expansion plans. Forward-looking statements
reflect current views with respect to future events and financial
performance and therefore cannot be guaranteed. Such statements are
based on the current expectations and certain assumptions of
ApolloMed's management, and some or all of such expectations and
assumptions may not materialize or may vary significantly from
actual results. Actual results may also vary materially from
forward-looking statements due to risks, uncertainties and other
factors, known and unknown, including the risk factors described
from time to time in ApolloMed's reports filed with the Securities
and Exchange Commission, including, without limitation, the risk
factors contained in ApolloMed's Annual Report on Form 10-K for the
year ended December 31, 2020, and any
subsequent Quarterly Reports on Form 10-Q.
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations
(626) 943-6491
investors@apollomed.net
Carolyne Sohn, The Equity
Group
(415) 568-2255
csohn@equityny.com
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SOURCE Apollo Medical Holdings, Inc.