AAC Holdings Inc. secured a $65 million acquisition financing commitment from Credit Suisse Securities (USA) LLC to fund its proposed $85 million acquisition of AdCare Inc.
The deal is expected to close in the first half of 2018.
AAC Holdings said the commitment was secured in conjunction with a senior secured incremental term loan facility that was arranged by Credit Suisse, Deutsche Bank Securities, BMO Capital Markets Corp. and Whitney Bank, and was priced and allocated on Sept. 22.
The incremental term loan facility would be issued in connection with the company's existing senior secured credit facility that closed in June 2017 and proceeds from the incremental facility would be used to fund the deal.
AAC Holdings also increased its revolving credit facility under its existing credit facility by $15 million to $55 million and will use it for general corporate purposes.