Radiology Partners (RP) – a leading radiology practice in the U.S. through its owned and affiliated practices – announced it has completed a series of previously announced financing transactions. And as a part of these actions, RP closed a growth equity investment of about $720 million, completed an exchange offer for its existing notes and finalized an amendment to its outstanding credit facilities.
Through the completion of the transactions announced today, the practice:
— Raised approximately $720 million in new equity financing from existing and new investors.
- — Meaningfully reduced its debt and successfully extended outstanding debt maturities with new maturity dates ranging from 2028 to 2030.
- — Will retain more than $500 million of cash and liquidity to fund continued growth and investment in innovation.
Kirkland & Ellis LLP and Sidley Austin LLP served as legal counsel to RP, and Moelis & Company LLC and Barclays Capital served as financial advisors to RP. Gibson Dunn LLP and Centerview Partners served as legal and financial advisors to certain RP lenders.
KEY QUOTES:
“We are pleased to have completed the final steps in our comprehensive financing plan, and we are poised to move forward with the resources and flexibility to continue to expand our clinical services and extend our technology and AI capabilities. The equity raise, which we believe to be the second largest growth financing in the healthcare industry in the past two years, underscores the strength of our practice, our leadership position in healthcare and the value we bring to our patients and our client partners.”
– Rich Whitney, RP’s Board Chair and CEO
“This is an important and exciting day for RP. Continued long-term support from our equity partners and lender partners fuels our mission and our ultimate success. We are moving forward as an even stronger practice, better positioned to continue to transform radiology and serve patients and healthcare providers.”
– Rod Owen, MD, RP radiologist and Board Director
“The future of radiology will be driven by an investment in people, process and advanced technology at scale. The steps RP is taking today will enable the practice to continue to make these investments, better serve patients and build on our leadership position as AI plays an increasingly important role in our evolving field.”
– Nina Kottler, MD, RP’s Associate Chief Medical Officer for Clinical AI
