WELL Health Technologies Corp. (TSX: WELL) reported today that it has obtained debt financing commitments from the Royal Bank of Canada, Bank of Montreal, HSBC Bank Canada, The Toronto-Dominion Bank, ICICI Bank Canada, and Laurentian Bank of Canada.
The company arranged a total of $140 million credit from said financial institutions for the purpose of the previously announced acquisition of MyHealth Partners. The credit facilities will consist of a $90 million revolving credit facility and a $50 million credit term facility. The loans will mature in 4 years and will carry a floating interest rate.
WELL Health previously announced its plans to acquire MyHealth for $266 million. MyHealth is an Ontario-based primary and specialty healthcare provider with reported annual proforma revenues of $100 million. The company also relayed that it has completed 25 acquisition transactions over the past eight years.
The lenders have also put on the table a $60 million uncommitted credit accordion facility for WELL Health’s future acquisitions and expansion plans.
The provision of the credit facilities is subject to finalizing the credit agreements and customary closing conditions.
WELL Health Technologies Corp. last traded at $7.88 on the TSX.
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