CIT Group has arranged and syndicated a $210 million senior secured credit facility to support the refinancing of Encompass Home Health, a Medicare-certified home health care agency and a portfolio company of Cressey & Company.
“This deal underscores how we use our industry knowledge to help meet the needs of and finance healthcare companies,” said Steven Warden, President of CIT Healthcare. “We are pleased to have the opportunity to work with Encompass and its management team to provide financing solutions that meet its long-term needs and support its growth strategy.”
Encompass Home Health is a Medicare-certified home health and hospice care agency. The Encompass network has grown to over one hundred home care and hospice branches in Texas, Oklahoma, New Mexico, Colorado, Utah, Idaho and Oregon and has $250 million in annual revenues. Encompass Home Health is based in Dallas, TX (www.ehhi.com).
CIT is a bank holding company with more than $34 billion in assets. Sectors of interest include small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and vendor finance. CIT was founded in 1908 and is based in New York, NY (www.cit.com).
CIT Healthcare served as Joint Lead Arranger, Sole Bookrunner and Administrative Agent for the transaction.
“CIT’s expertise and guidance have provided value to our business and helped make Encompass the standard for patients who need superior in-home care. This facility will provide additional working capital and allow us to continue our focus on enhanced patient care and ensure we remain the leader in innovative home health services,” said April Anthony, founder and Chief Executive Officer of Encompass.
Cressey & Company makes equity investments of $5 million to $100 million in healthcare services, providers and facilities that have at least $5 million of EBITDA. The firm has offices in Chicago and Nashville (www.cresseyco.com).