Select Medical Corp. is planning a $500 million bond issue, parent company Select Medical Holdings Corp. said today.
The offering of unsecured senior notes due in 2021 will be made via private placement “solely to qualified institutional buyers” and guaranteed by “certain of Select’s subsidiaries,” the company said.
Select Medical plans to use the proceeds to pay down portions of two term loans, $850 million and $275 million, both of which mature in June 2018, the company said.
Select Medical Holdings, based in Lower Allen Township, operates acute-care hospitals and rehabilitation centers through its subsidiary Select Medical. Its shares trade on the New York Stock Exchange under the ticker symbol SEM.