Ensemble Health lifts term loan to $785 million, revises OID

By Sara Rosenberg

New York, Feb. 10 – Ensemble Health upsized its fungible incremental term loan B due Aug. 1, 2026 to $785 million from $685 million and revised the original issue discount talk to a range of 99.5 to 99.75 from 99, before firming the discount at 99.75 later in the day, according to a market source.

Pricing on the incremental term loan is Libor plus 375 basis points with a 0% Libor floor, in line with existing term loan pricing.

The incremental term loan has 101 soft call protection for six months, the source said.

Goldman Sachs Bank USA, Antares Capital, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Guggenheim and Mizuho are the arrangers on the deal.

Proceeds will be used to fund a distribution to shareholders.

With this transaction, the company is seeking an amendment of its existing credit agreement to get a one-time restricted payment waiver to allow for the transaction.

No amendment fee is being offered, revised from a proposed 12.5 bps amendment fee previously, the source added.

Golden Gate Capital is the sponsor.

Closing is expected during the week of Feb. 15.

Ensemble Health is a Cincinnati-based provider of technology-enabled revenue cycle management services to hospitals and health systems.

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