BRENTWOOD, Tenn. (Sept. 18, 2024) – Ardent Health (NYSE: ARDT) today announced it has entered into an amendment to its term loan credit agreement with its lenders to reprice its term loans. The repricing reduces the applicable interest rate by 50 basis points from Term Secured Overnight Financing Rate (SOFR) plus 3.25% to Term SOFR plus 2.75%, as well as eliminates the credit spread adjustment. There are no changes to the maturity of the loans following the repricing and all other terms are substantially unchanged. The amended credit agreement is expected to reduce Ardent’s borrowing cost and generate interest expense savings of approximately $5 million annually.
“This opportunistic term loan repricing enhances our free cash flow conversion and provides for incremental flexibility as we execute on our capital allocation priorities,” said Ardent Chief Financial Officer Alfred Lumsdaine. “Optimizing our cost of capital further facilitates our goal of efficiently investing in high-growth opportunities as we continue to expand our consumer-focused healthcare delivery model and create long-term shareholder value.”
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on current expectations and assumptions that are subject to risks and uncertainties. Forward-looking statements include all statements that are not historical facts. Words such as “anticipates,” “expects,” “intends,” “plans,” “predicts,” “believes,” “seeks,” “estimates,” “could,” “would,” “will,” “may,” “can,” “continue,” “potential,” “should” and the negative of these terms or other comparable terminology often identify forward-looking statements. These forward-looking statements are subject to a number of risks, uncertainties, and assumptions, including those described under "Risk Factors" in Ardent Health’s final prospectus dated July 17, 2024, filed with the Securities and Exchange Commission on July 18, 2024 pursuant to Rule 424(b) under the Securities Act of 1933, as amended, that may cause actual results to differ materially from those contained in the forward-looking statements. Except as required by law, Ardent Health has no obligation to update any of these forward-looking statements to conform these statements to actual results or revised expectations.
About Ardent Health
Ardent Health (NYSE: ARDT) is a leading provider of healthcare in growing mid-sized urban communities across the U.S. With a focus on people and investments in innovative services and technologies, Ardent is passionate about making healthcare better and easier to access. Through its subsidiaries, the Company delivers care through a system of 30 acute care hospitals and more than 200 sites of care with over 1,700 affiliated providers across six states. For more information, please visit www.ardenthealth.com.
Investor Contact:
Dave Styblo
Investor.Relations@ardenthealth.com
(615) 296-3016
Media Contact:
Rebecca Kirkham
rebecca.kirkham@ardenthealth.com
(615) 296-3635