LOS ANGELES--(BUSINESS WIRE)--
VCA Inc. (NASDAQ: WOOF), a leading animal healthcare company in
the United States and Canada, today announced that it has increased its
credit facility by approximately $300 million by entering into a new
$1.68 billion senior credit facility comprised of $880 million of senior
term notes and an $800 million revolving facility. A portion of the
proceeds of the new credit facility will be used to retire the
outstanding term notes and revolving facility under the Company's
existing credit facility. The new senior term loan and revolving
facility are priced initially at LIBOR plus 175 basis points but will
change depending on the Company's ratio of debt to EBITDA.
Bob Antin, Chairman and CEO, stated, "I am pleased that, as a result of
our consistently increasing operating results and cash flow and the
outstanding efforts of Bank of America Merrill Lynch, J.P. Morgan
Securities LLC, Barclays, SunTrust Robinson Humphrey and Wells Fargo, we
were able to increase our credit facility by $300 million. We now have
$425 million available on our revolving facility which, along with our
strong free cash flow, gives us the financial flexibility to continue to
grow our business while optimizing our capital structure.
"Following our recently completed acquisition of an 80% interest in
Companion Animal Practices, North America (CAPNA) for $344 million and
the acquisition of an additional $108 million of hospital revenue during
the first two quarters of this year, the additional capacity under our
new revolving facility enables us to continue to focus on executing our
disciplined capital deployment strategy moving forward."
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are not historical facts and are inherently
uncertain and out of our control. Any or all of our forward-looking
statements in this press release may turn out to be wrong. They can be
affected by inaccurate assumptions we might make or by known or unknown
risks and uncertainties. Actual future results may vary materially.
Among other factors that could cause our actual results to differ from
this forward-looking information are: the continued effects of the
economic uncertainty prevailing in regions in which we operate; our
ability to execute on our growth strategy and to manage acquired
operations; changes in demand for our products and services;
fluctuations in our revenue adversely affecting our gross profit,
operating income and margins; and the effects of the other factors
discussed in our Annual Report on Form 10-K, Reports on Form 10-Q and
our other filings with the SEC.
VCA is a leading animal healthcare company with operations in the United
States and Canada. Through VCA Animal Hospitals, VCA owns, operates and
manages the largest network of free-standing veterinary hospitals in the
United States and Canada, while its Antech Diagnostics division operates
the preeminent network of veterinary exclusive clinical laboratories in
North America. VCA also supplies diagnostic imaging equipment to the
veterinary industry through its Sound™ division, and through Camp Bow
Wow franchises a premier provider of pet services including dog day
care, overnight boarding, grooming, and other ancillary services at
specially designed pet care facilities. For further information on VCA
and its various businesses, visit its website at www.vca.com.
Source: VCA Inc.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160629006237/en/
Chief Financial Officer
Source: VCA Inc.
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