Achieves better-than-expected pricing on new term loan tranche
MURFREESBORO, Tenn.--(BUSINESS WIRE)--
National Health Investors, Inc. (NYSE:NHI) announced today it has
completed the previously announced purchase of 25 independent living
facilities from Holiday Acquisition Holdings LLC, an affiliate of
Holiday Retirement, for a purchase price of $491 million plus
transaction costs. The facilities will continue to be operated by
affiliates of Holiday Retirement pursuant to a new 17-year master lease.
On November 27, 2013, NHI received $282 million in net proceeds from a
public offering of 5,175,000 shares of NHI’s common stock. The
acquisition was funded with cash and $250 million from a new term loan
related to NHI’s updated and amended senior unsecured bank credit
facility. The new term loan provides for interest of 175 basis points
over LIBOR and matures in June 2018, which is a reduction from the
previously disclosed pricing of 225 basis points over LIBOR. Wells Fargo
Bank, BMO Capital Markets, Bank of America, Merrill Lynch, Pierce,
Fenner & Smith Incorporated, and KeyBank National Association served as
arrangers and agents to amend the existing credit facility and expand
the syndicate of banks to provide the new term loan.
Justin Hutchens, NHI’s CEO and President, noted, “The acquisition of
these 25 independent living communities provides substantial geographic,
asset class and operator diversification on a very accretive basis. We
were able to conservatively fund the acquisition with strong execution
on the equity offering and better-than-expected pricing on our new term
loan tranche. These transactions will be instrumental in supporting our
growth in 2014.”
About National Health Investors
National Health Investors, Inc. (NYSE:NHI), a Maryland corporation
incorporated and publicly listed in 1991, is a healthcare real estate
investment trust (REIT) specializing in financing healthcare real estate
by purchase and leaseback transactions, RIDEA transactions and by
mortgage loans. NHI’s investments include senior housing (assisted
living, memory care, independent living and senior living campuses),
skilled nursing, medical office buildings and specialty hospitals. www.nhireit.com
Safe Harbor Statement
Statements in this press release that are not historical facts are
forward-looking statements. NHI cautions investors that any
forward-looking statements may involve risks and uncertainties and are
not guarantees of future performance. All forward-looking statements
represent NHI’s judgment as of the date of this release. Investors are
urged to carefully review and consider the various disclosures made by
NHI in its periodic reports filed with the Securities and Exchange
Commission, including the risk factors and other information disclosed
in NHI’s Annual Report on Form 10-K for the most recently ended fiscal
year. Copies of these filings are available at no cost on the SEC’s web
site at www.sec.gov
or on NHI’s web site at www.nhireit.com.
National Health Investors, Inc.
Roger R. Hopkins, 615-890-9100
Chief
Accounting Officer
Source: National Health Investors, Inc.