LivaNova enters $450 million secured credit facility maturing 2025

By Rebecca Melvin

New York, June 11 – LivaNova plc has entered into a five-year $450 million senior secured credit facility with funds managed by affiliates of Ares Management Corp., as administrative agent and collateral agent, according to a company release.

The facility was entered into through the company’s U.S. subsidiary, LivaNova USA, Inc., and has a borrowing rate of Libor (subject to a 1% floor), plus 650 basis points per year.

The credit facility will mature on June 30, 2025, if not prepaid earlier.

The company expects to use proceeds from the facility, together with a portion of the expected net proceeds of a concurrent LivaNova financing transaction, to repay all amounts outstanding under certain of LivaNova’s existing credit facilities. The remainder of the proceeds from the concurrent financing transaction are expected to be used to pay the cost of capped call transactions being entered into in connection with that transaction and for general corporate purposes.

The obligations under the credit facility will be guaranteed on a senior secured basis by LivaNova and each of LivaNova’s existing and future wholly owned material subsidiaries and will be secured by a perfected first priority security interest in substantially all tangible and intangible assets of LivaNova and certain U.S. and U.K. subsidiaries of LivaNova, subject in to certain exceptions contained in the facility.

Goldman Sachs & Co. LLC served as exclusive advisor to LivaNova in connection with the credit facility.

The medical device manufacturer is based in London.

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