Rotech agrees to $25 million loan credit
ORLANDO – Rotech Healthcare has agreed to a $25 million new term loan credit facility with Silver Point Finance, according to a press release. “We expect that proceeds from the new credit facility will provide the company with additional flexibility to respond to competitive changes and opportunities in the industry, and will support the company’s working capital needs as we implement our business plans,” stated Philip Carter, president and CEO of Rotech in the release. The company borrowed $23.5 million under the new agreement, with the remaining $1.5 million to be borrowed on a delayed draw basis on or before Jan. 1, 2014. The loan replaces and repays Rotech’s existing commitments and loans under prior agreements, assuming the remaining $1.5 million is borrowed. The new loans will mature on April 30, 2015, at which point the entire principal amount is due.