Simpson Thacher represented J.P. Morgan Securities LLC, Deutsche Bank Securities Inc. and the other initial purchasers in an offering of $250,000,000 of 7% Senior Notes due 2018 by Universal Health Services, Inc. (“UHS”). The offering closed on September 29, 2010.
The notes were initially issued by an escrow subsidiary of UHS to fund a portion of the purchase price of UHS’s announced acquisition of Psychiatric Solutions, Inc. (“PSI”). At the time of the closing of the acquisition, the net proceeds of the offering are expected to be released from escrow, and the notes will become obligations of UHS.
Simpson Thacher is also representing J.P. Morgan and Deutsche Bank as lead arrangers and lenders in connection with senior secured credit facilities of $3.45 billion to finance the acquisition of PSI and refinance existing debt of UHS and PSI.
UHS is one of the largest hospital companies in the United States, operating, through its subsidiaries, acute care hospitals, behavioral healthcare facilities and ambulatory centers located throughout the United States and Puerto Rico. PSI focuses on behavioral health programs to critically ill children, adolescents and adults and is the largest operator of owned or leased freestanding psychiatric inpatient facilities in the United States.
The Simpson Thacher team includes John Ericson, Jiyoung Sohn, Paige Fleming, Lia Toback, Jordan Taylor and Yu Wang (Capital Markets); James Buresh, Tony McMahon, Eli Isak and Andre Gray (Credit); Mardi Merjian and Heesun Kang (Real Estate); Jennifer Pepin (Executive Compensation and Benefits); Amie Broder (Tax); Mindy Lok and Daeyna Grant (Intellectual Property); Timothy Mulvihill (Environment); and Jennie Getsin (Blue Sky). Paralegal Daniel Katt also provided valuable assistance.