Community Health Systems, Inc. Announces Early Tender Offer Results for Its 5.125% Senior Secured Notes Due 2018
May 16 2016 - 4:15PM
Business Wire
Community Health Systems, Inc. (the “Company”) (NYSE: CYH)
today announced the early tender results of the previously
announced cash tender offer by its wholly owned subsidiary,
CHS/Community Health Systems, Inc. (the “Issuer”), for up to $900.0
million of the Issuer’s approximately $1.6 billion aggregate
principal amount outstanding of its 5.125% Senior Secured Notes due
2018 (the “2018 Notes”) pursuant to the terms and conditions set
forth in the Issuer’s Offer to Purchase dated May 2, 2016 (the
“Offer to Purchase”).
As of the previously announced early tender deadline of 5:00
p.m., New York City time, on May 13, 2016 (the “Early Tender
Deadline”), $1,128,289,000 in aggregate principal amount, or
approximately 70.52 percent, of the outstanding 2018 Notes had been
validly tendered and not withdrawn.
Because the tender offer is oversubscribed, the Issuer has
accepted for purchase tendered 2018 Notes on a prorated basis in
the manner described in the Offer to Purchase.
The following table sets forth the outstanding principal amount
of the 2018 Notes, the principal amount that has been validly
tendered and not withdrawn as of the Early Tender Deadline, the
principal amount accepted for purchase and the approximate
proration factor:
Title of
Security
CUSIP and ISINNumbers
PrincipalAmountOutstanding
Tender Cap
AggregatePrincipal
AmountTendered andNot Withdrawn
AggregatePrincipalAmountAccepted
forPurchase
ApproximateProrationFactor
5.125% SeniorSecured Notesdue 2018
12543D AR1US12543DAR17
$1,600,000,000
$900,000,000 $1,128,289,000
$900,000,000
79.9%
Payment for 2018 Notes accepted for purchase is expected to be
made today, May 16, 2016. Holders who tender 2018 Notes after the
Early Tender Deadline will not have any of their 2018 Notes
accepted for purchase. The tender offer will expire at 5:00 p.m.,
New York City time, on May 31, 2016, unless extended or earlier
terminated by the Issuer. The Issuer reserves the right to
terminate, withdraw, or amend the tender offer at any time subject
to applicable law.
The Issuer has retained Credit Suisse Securities (USA) LLC to
act as Dealer Manager in connection with the tender offer.
Questions about the tender offer may be directed to Credit Suisse
Securities (USA) LLC at (800) 820-1653 (toll free) or (212)
538-2147 (collect). Copies of the tender offer documents and other
related documents may be obtained from D.F. King & Co., Inc.,
the information agent for the tender offer, at (866) 829-0135 (toll
free) or (212) 269-5550 (collect).
The tender offer is being made solely by means of the tender
offer documents. Under no circumstances shall this press release
constitute an offer to purchase or the solicitation of an offer to
sell the 2018 Notes or any other securities of the Issuer or any
other person, nor shall there be any offer or sale of any 2018
Notes or other securities in any state or jurisdiction in which
such an offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
jurisdiction. No recommendation is made as to whether holders of
the 2018 Notes should tender their 2018 Notes.
About Community Health Systems, Inc.
Community Health Systems, Inc. is one of the largest publicly
traded hospital companies in the United States and a leading
operator of general acute care hospitals in communities across the
country. After giving effect to the spin-off of Quorum Health
Corporation, through its subsidiaries, the Company owns, leases or
operates 160 affiliated hospitals in 22 states with an aggregate of
approximately 27,000 licensed beds.
The Company’s headquarters are located in Franklin, Tennessee, a
suburb south of Nashville. Shares in Community Health Systems, Inc.
are traded on the New York Stock Exchange under the symbol “CYH.”
More information about the Company can be found on its website at
www.chs.net.
Forward-Looking Statements
Statements contained in this press release
regarding the proposed transactions and other events are
forward-looking statements that involve risk and uncertainties.
Actual future events or results may differ materially from these
statements. Readers are referred to the documents filed by
Community Health Systems, Inc. with the Securities and Exchange
Commission, including the Company’s annual report on Form 10-K,
current reports on Form 8-K and quarterly reports on Form 10-Q.
These filings identify important risk factors and other
uncertainties that could cause actual results to differ from those
contained in the forward-looking statements. The Company undertakes
no obligation to revise or update any forward-looking statements,
or to make any other forward-looking statements, whether as a
result of new information, future events or otherwise.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20160516006564/en/
Community Health Systems, Inc.Investor Contact:W. Larry
Cash, 615-465-7000President of Financial Services and Chief
Financial OfficerorMedia Contact:Tomi Galin, 615-628-6607Senior
Vice President, Corporate Communications, Marketing and Public
Affairs
Community Health Systems (NYSE:CYH)
Historical Stock Chart
From Mar 2024 to Apr 2024
Community Health Systems (NYSE:CYH)
Historical Stock Chart
From Apr 2023 to Apr 2024