Molina Healthcare Inc. has completed a private offering of $330 million aggregate principal amount of its 4.875% senior notes due June 15, 2025.
The notes will carry an annual interest rate of 4.875%, payable semiannually in arrears June 15 and Dec. 15 of each year, starting Dec. 15.
The company has received net proceeds of about $325.2 million from the offering, after deducting fees and expenses, which have been deposited into a newly formed segregated deposit account and will be invested and reinvested in cash and cash equivalents.
The notes will be guaranteed by each of Molina's subsidiaries that guarantee its existing revolving credit facility. As of June. 6, Molina Information Systems LLC, Molina Pathways LLC and Pathways Health and Community Support LLC guarantee the notes.