Alignment Healthcare Announces Completion of Debt Refinancing
ORANGE, Calif., Sept. 06, 2022 (GLOBE NEWSWIRE) -- Alignment Healthcare, Inc. (Alignment Healthcare or the Company) (NASDAQ: ALHC), a tech-enabled Medicare Advantage company, today announced the close of a $250 million senior secured term loan facility with Oxford Finance LLC, of which $165 million was funded upon closing of the transaction, net of certain expenses. The Company used these funds to repay in full the outstanding principal and accrued interest under its existing term loan facility with CRG Servicing LLC. The new credit facility provides for a delayed draw term loan commitment of $85 million, which is available at the Company's option, subject to certain conditions specified in the loan agreement.
The company’s new credit facility has a maturity date of five years and bears interest at a rate equal to the one-month SOFR (Secured Overnight Financing Rate), subject to a floor of 100 basis points, plus a margin of 6.5%.
In connection with the transaction, Alignment was represented by Latham & Watkins LLP and Oxford was represented by Chapman and Cutler LLP.
About Alignment Healthcare
Alignment Healthcare is a consumer-centric platform delivering customized health care in the United States to seniors and those who need it most, the chronically ill and frail, through its Medicare Advantage plans. The company provides partners and patients with customized care and service where they need it and when they need it, including clinical coordination, risk management and technology enablement. Alignment Healthcare offers health plan options through Alignment Health Plan and also partners with select health plans to help deliver better benefits at lower costs.
About Oxford Finance LLC
Oxford Finance is a specialty finance firm providing senior secured loans to public and private life sciences and healthcare services companies worldwide. For over 20 years, Oxford has delivered flexible financing solutions to its clients, enabling these companies to maximize their equity by leveraging their assets. Since 2002, Oxford has funded over $9 billion in loans. Oxford is headquartered in Alexandria, Virginia, with additional offices in California (San Diego, Palo Alto, and Los Angeles) and the greater Boston and New York City metropolitan areas. For more information, visit www.oxfordfinance.com.
mPR, Inc. for Alignment Healthcare