Drive DeVilbiss Healthcare has agreed in principle to receive $35 million in new capital together with a reduction in cash debt service obligations from its current lenders, it announces in a news release.
The transaction has broad support across Drive’s capital structure, including a substantial majority of Drive’s first and second lien lenders and new capital from the company’s primary equity holders. Drive is promptly implementing this agreement by formally soliciting the requisite consents and completing and executing definitive documentation.
“We are pleased with the strong demonstration of support that our stakeholders have shown to our business and strategic vision,” says Bob Gilligan, chief executive officer of the Port Washington, NY-based company.
“The new capital and associated capital structure enhancements will enable Drive to continue to invest in improving our infrastructure to deliver high quality service to our customers, while also providing additional runway to execute on our business plan supporting continued growth.”
[Source: Drive DeVilbiss Healthcare]