MidCap Financial said Wednesday that it has negotiated the extension of its credit facility led by Wells Fargo Capital Finance. As a result, the maturity date has been extended to January 1, 2017. Also, three new banks have been added to the lending group. Plus, the facility was increased from $600 million to $800 million. Headquartered in Bethesda, Maryland, MidCap Financial, which is backed by Genstar Capital and Lee Equity Partners, is a commercial finance company focused on middle market healthcare companies.
BETHESDA, MD, October 23, 2013 – MIDCAP FINANCIAL, LLC, the nation’s leading independent commercial finance company focused exclusively on middle market healthcare companies, announced today that it has favorably negotiated the extension of its credit facility led by Wells Fargo Capital Finance, improving its structure, reducing its pricing, and extending its maturity date to January 1, 2017. In addition, three new banks were added to the lending group, bringing the total to eleven, and the facility was increased from $600 million to $800 million.
These new commitments, together with MidCap’s existing credit facilities, bring MidCap’s total debt financing commitments to more than $1.645 billion from 24 different credit partners. Including its equity capital commitments, MidCap now has more than $2 billion of financing capacity.
MidCap maintains its middle market healthcare finance leadership position, having closed more than 300 senior financing transactions since its 2008 inception. In the first nine months of 2013 alone, MidCap has closed 41 transactions totaling almost $1.1 billion in loan commitments.
“We are certainly pleased to close this expanded and improved facility,” said David Moore, MidCap’s CFO.
“Wells Fargo Capital Finance has been a bedrock constituent since MidCap’s founding in the fall of 2008. While supporting us with their own balance sheet, they have also helped us attract additional lenders to our bank group as our growth has required it, and this latest syndication is a great example of that. We will utilize these additional commitments, together with those from our other credit partners, to continue addressing the senior credit needs of middle market healthcare companies in our targeted markets.”
Andrea Petro, Executive Vice President of Wells Fargo Capital Finance and Division Head of Lender Finance, added: “MidCap plays a key role in providing credit to middle market healthcare companies. The Lender Finance team of Wells Fargo Capital Finance is pleased to have provided them the financial flexibility to continue doing so.”
About MidCap Financial, LLC:
MidCap Financial is a commercial finance company focused on middle market lending in the broad national healthcare industry. MidCap specializes in $5 million to $200 million loans. The company is headquartered in Bethesda, MD, with offices in Chicago and Los Angeles, and focuses in four areas:
-Asset-Based working capital loans to healthcare providers collateralized by third-party accounts receivable and other assets;
-Leveraged loans to healthcare companies backed by private equity sponsors;
-Life Sciences loans to VC-backed and public pharmaceutical, biotech, and medical device companies;
-Real Estate loans to skilled nursing facilities, senior housing properties, and medical office buildings
Additional information about MidCap Financial can be found at www.midcapfinancial.com
About Wells Fargo Capital Finance:
Wells Fargo Capital Finance is the trade name for certain asset-based lending, accounts receivable and purchase order finance services of Wells Fargo & Company and its subsidiaries, and provides traditional asset-based lending, specialized senior secured financing, accounts receivable financing, purchase order financing and channel finance to companies across the United States and internationally. Dedicated teams within Wells Fargo Capital Finance provide financing solutions for companies in specific industries such as retail, software publishing and high-technology, commercial finance, staffing, government contracting and others. For more information, visit www.wellsfargocapitalfinance.com.