LOUISVILLE, Ky (March 14, 2014)–(BUSINESS WIRE) — Kindred Healthcare Inc. (NYSE:KND) this week announced that it intends to undertake a refinancing of its existing secured indebtedness. The proposed refinancing would extend the maturity profile of the Company’s long-term debt, increase total availability under the Company’s secured facilities, improve pricing and provide additional covenant flexibility.
The Company also is evaluating options for refinancing its senior unsecured indebtedness, including through the incurrence of additional senior secured indebtedness and/or new unsecured indebtedness.
The refinancing is subject to market and other customary conditions and there can be no assurance that the refinancing will be completed or as to the timing of completion.
Paul J. Diaz, Chief Executive Officer of Kindred, commented, “This refinancing reflects another important step in our strategic goal of improving our capital structure and enhancing shareholder returns. We believe this refinancing provides an opportunity to extend our debt maturities, improve our covenant flexibility, increase our debt capacity and importantly, to lower our borrowing costs while also de-risking our variable interest rate exposure. The refinancing also better aligns our balance sheet to support our growth strategy.”