The Ensign Group, Inc. announced that Ensign and its operating subsidiaries increased their credit facility by $200 million to an aggregate of $450 million.  The borrowings are supported by a lending consortium arranged by SunTrust Robinson Humphrey, Inc. and Wells Fargo Securities, LLC.

The new facility matures on February 5, 2021 and includes a $300 million revolving line of credit and a new $150 million term loan component, which will be deployed immediately to pay down previously drawn amounts on Ensign’s revolver.   The credit facility also includes a $150 million expansion option, among other things.

"These new borrowings further strengthen our long-term capital structure and, together with our strong operating performance, provide excellent flexibility in an ever-changing healthcare environment," said Suzanne Snapper, Ensign's Chief Financial Officer. "We appreciate the continued support of our banking partners and we look forward to working with them further as we continue our strategy of disciplined growth," she added.

Snapper confirmed that in addition to refinancing some existing borrowings, the proceeds of the credit facility will be used to fund acquisitions, renovate and upgrade existing and future facilities, cover working capital needs and for other business purposes.

The Ensign Group, Inc.'s independent operating subsidiaries provide a broad spectrum of skilled nursing and assisted living services, physical, occupational and speech therapies, home health and hospice services, urgent care services and other rehabilitative and healthcare services at 207 operations, sixteen hospice agencies, seventeen home health agencies, three home care businesses and fourteen urgent care clinics in California, Arizona, Texas, Washington, Utah, Idaho, Colorado, Nevada, Iowa, Nebraska, Oregon, Wisconsin, Kansas and South Carolina.