HEALTHCARE SERVICES GROUP, INC. (NASDAQ:HCSG) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01
EntryintoaMaterialDefinitiveAgreement.
On December 21, 2018, Healthcare Services Group, Inc. (the “Company”) entered into a new $475 million credit facility (the “New Credit Facility”), by and among the Company, the several banks and other financial institutions or entities that are from time to time parties thereto (the “Lenders”), and PNC Bank, National Association, as administrative agent (the “Administrative Agent”). The New Credit Facility, which matures on December 21, 2023, provides for a five-year unsecured revolving loan facility in the aggregate amount of $475 million with, at the Company’s option, the ability to increase the revolving loan commitments to an aggregate amount not to exceed $600 million. The New Credit Facility permits up to $50 million of the revolving loan facility to be borrowed as swingline loans and up to $125 million of the revolving loan facility to fund letters of credit. The Company will borrow under the New Credit Facility for general corporate purposes.
The New Credit Facility replaced the Company’s existing $300 million amended and restated Committed Line of Credit Note Agreement, dated July 11, 2017, among the Company, and PNC Bank, National Association, which expired on December 21, 2018.
The foregoing description of the New Credit Facility is not complete and is qualified in its entirety by reference to the full terms and conditions of the New Credit Facility, which is filed as Exhibit 10.1 to this Form 8-K and incorporated herein by reference.
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Item 2.03 |
Creation of a Direct Financial Obligation or an Obligation Under an Off-Balance Sheet Arrangement of a Registrant |
The information set forth in Item 1.01 above is incorporated by reference herein.
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Item 9.01 |
Financial Statements and Exhibits. |
( a )Not applicable
( b )Not applicable
( c )Not applicable
( d )Exhibits. The following exhibits are being furnished herewith:
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10.1 |
$475,000,000 Revolving Credit Facility, dated as of December 21, 2018 |
HEALTHCARE SERVICES GROUP INC Exhibit
EX-10.1 2 hcsg_2018creditagreementxe.htm EXHIBIT 10.1 Exhibit EXECUTION VERSION DEAL CUSIP 42226FAA4REVOLVER CUSIP 42226FAB2$475,…
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About HEALTHCARE SERVICES GROUP, INC. (NASDAQ:HCSG)
Healthcare Services Group, Inc. provides management, administrative and operating services to the housekeeping, laundry, linen, facility maintenance and dietary service departments of the healthcare industry. The Company caters to nursing homes, retirement complexes, rehabilitation centers and hospitals located in the United States. The Company’s segments include Housekeeping and Dietary. The Housekeeping segment consists of housekeeping, laundry and linen services and involves the management of a client’s housekeeping department, which is responsible for the cleaning, disinfecting and sanitizing resident areas in the client’s facilities. The Dietary segment includes dietary department services, which is responsible for food purchasing, meal preparation and providing professional dietitian consulting services, which include the development of a menu that meets a patient’s dietary needs. The Company provides its services to the long-term care industry in the United States.
