Encompass Health Issues Notice for Partial Redemption of Its 5.75% Senior Notes Due 2025
Encompass Health (NYSE: EHC) has announced the partial redemption of its 5.75% senior notes due 2025. The company will redeem $100 million of the outstanding principal balance, with the redemption date set for November 21, 2024. The redemption price will be 100.0% of par, plus accrued and unpaid interest as per the terms of the 2025 Notes.
Encompass Health plans to use cash on hand to fund this redemption. As a result of this action, the company anticipates recording an approximate $0.2 million loss on early extinguishment of debt in the fourth quarter of 2024.
Encompass Health (NYSE: EHC) ha annunciato il riscatto parziale delle sue obbligazioni senior al 5,75% in scadenza nel 2025. L'azienda riscatterà 100 milioni di dollari del saldo principale in circolazione, con la data di riscatto fissata al 21 novembre 2024. Il prezzo di riscatto sarà 100,0% del valore nominale, più gli interessi maturati e non pagati secondo i termini delle obbligazioni 2025.
Encompass Health prevede di utilizzare liquidità disponibile per finanziare questo riscatto. Di conseguenza, l'azienda anticipa di registrare una perdita approssimativa di 0,2 milioni di dollari per estinzione anticipata del debito nel quarto trimestre del 2024.
Encompass Health (NYSE: EHC) ha anunciado el rescate parcial de sus notas senior al 5,75% con vencimiento en 2025. La compañía rescatará 100 millones de dólares del saldo principal pendiente, con la fecha de rescate programada para el 21 de noviembre de 2024. El precio de rescate será 100,0% del valor nominal, más intereses acumulados y no pagados según los términos de las Notas 2025.
Encompass Health planea utilizar efectivo disponible para financiar este rescate. Como resultado de esta acción, la compañía anticipa registrar una pérdida aproximada de 0,2 millones de dólares por extinción anticipada de deuda en el cuarto trimestre de 2024.
Encompass Health (NYSE: EHC)가 2025년 만기 예정인 5.75% 선순위 노트의 부분 상환을 발표했습니다. 이 회사는 미지급 원금 잔액 중 1억 달러를 상환할 예정이며, 상환일은 2024년 11월 21일로 정해졌습니다. 상환 가격은 액면가의 100.0%에 해당하며, 2025년 노트의 조건에 따라 발생한 미지급 이자도 포함됩니다.
Encompass Health는 이번 상환을 위해 보유 현금을 사용할 계획입니다. 이 조치로 인해 회사는 2024년 4분기에 조기 채무 상환으로 약 20만 달러의 손실을 기록할 것으로 예상하고 있습니다.
Encompass Health (NYSE: EHC) a annoncé le rachat partiel de ses obligations senior de 5,75% arrivant à échéance en 2025. La société rachetera 100 millions de dollars du solde principal en circulation, la date de rachat étant fixée au 21 novembre 2024. Le prix de rachat sera de 100,0% de la valeur nominale, plus les intérêts courus et non réglés conformément aux conditions des Obligations 2025.
Encompass Health prévoit d'utiliser des liquidités disponibles pour financer ce rachat. En conséquence de cette action, la société prévoit d'enregistrer une perte d'environ 200 000 dollars sur l'extinction anticipée de la dette au quatrième trimestre de 2024.
Encompass Health (NYSE: EHC) hat die teilweise Rückzahlung seiner 5,75% Senior Notes mit Fälligkeit im Jahr 2025 angekündigt. Das Unternehmen wird 100 Millionen US-Dollar des ausstehenden Hauptbetrags zurückzahlen, wobei das Rückzahlungsdatum auf den 21. November 2024 festgelegt wurde. Der Rückzahlungsbetrag beträgt 100,0% des Nennwerts, zuzüglich der aufgelaufenen und nicht bezahlten Zinsen gemäß den Bedingungen der 2025er Anleihen.
Encompass Health plant, für diese Rückzahlung Bargeldbestände zu verwenden. Infolge dieser Maßnahme rechnet das Unternehmen damit, im vierten Quartal 2024 einen ungefähr 200.000 US-Dollar Verlust durch vorzeitige Tilgung von Schulden zu verbuchen.
- Partial redemption of debt indicates strong cash position
- Redemption at par value (100.0%) suggests favorable financial terms
- Use of cash on hand for redemption demonstrates liquidity strength
- Expected $0.2 million loss on early extinguishment of debt in Q4 2024
Insights
This partial redemption of
The minimal loss of
Overall, this move signals confidence in Encompass Health's financial position and may be viewed positively by the market, although the impact on the stock price might be due to the relatively small size of the redemption compared to the company's
About Encompass Health
Encompass Health (NYSE: EHC) is the largest owner and operator of rehabilitation hospitals in
Forward-Looking Statements
Statements contained in this press release which are not historical facts are forward-looking statements. In addition, Encompass Health, through its senior management, may from time to time make forward-looking public statements concerning the matters described herein. All such estimates, projections, and forward-looking information speak only as of the date hereof, and Encompass Health undertakes no duty to publicly update or revise such forward-looking information, whether as a result of new information, future events, or otherwise. Such forward-looking statements are necessarily estimates based upon current information and involve a number of risks and uncertainties. Actual events or results may differ materially from those anticipated in these forward-looking statements as a result of a variety of factors. While it is impossible to identify all such factors, factors which could cause actual events or results to differ materially from those estimated by Encompass Health include, but are not limited to, potential disruptions, breaches, or other incidents affecting the proper operation, availability, or security of Encompass Health's information systems, including unauthorized access to or theft of patient, business associate, or other sensitive information; changes, delays in (including in connection with resolution of Medicare payment reviews or appeals), or suspension of reimbursement for Encompass Health's services by governmental or private payors; a significant market disruption; and other factors which may be identified from time to time in Encompass Health's SEC filings and other public announcements, including its Form 10-K for the year ended Dec. 31, 2023 and Forms 10-Q for the quarters ended Mar. 31, 2024 and Jun. 30, 2024.
Media contact:
Polly Manuel | 205.970.5912
media@encompasshealth.com
Investor Relations contact:
Mark Miller | 205.970.5860
Mark.Miller@encompasshealth.com
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SOURCE Encompass Health Corp.
FAQ
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