New Issue: Tenet Healthcare prices $850 million eight-year secured notes at par to yield 4½%

By Paul A. Harris

Portland, Ore., Jan. 22 - Tenet Healthcare Corp. priced an $850 million issue of non-callable eight-year senior secured notes (B1/B+/) at par to yield 4½% on Tuesday, according to a syndicate source.

The yield printed at the tight end of the 4½% to 4¾% yield talk.

Bank of America Merrill Lynch, Barclays, Citigroup Global Markets Inc. and Wells Fargo Securities LLC were the joint bookrunners.

The Dallas-based health care services company plans to use the proceeds to fund the tender for its 10% senior secured notes due 2018, to purchase other outstanding senior secured notes and for general corporate purposes.

Issuer:	Tenet Healthcare Corp.
Amount:	$850 million
Maturity:	April 1, 2021
Securities:	Senior secured notes
Bookrunners:	Bank of America Merrill Lynch, Barclays, Citigroup Global Markets Inc., Wells Fargo Securities LLC
Co-managers:	Scotiabank, Morgan Stanley & Co. LLC, SunTrust Robinson Humphrey Inc.
Coupon:	4½%
Price:	Par
Yield:	4½%
Spread:	307 bps
Call protection:	Non-callable
Make-whole:	Treasuries plus 50 bps
Change-of-control put:	101%
Trade date:	Jan. 22
Settlement date:	Feb. 5
Ratings:	Moody's: B1
	Standard & Poor's: B+
Distribution:	Rule 144A and Regulation S
Price talk:	4½% to 4¾%
Marketing:	Quick to market

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