Capital One Funds Homecare Growth

Bethesda, Md. (May 15, 2017)—Capital One announced today that it served as the agent, joint lead arranger and sole bookrunner for a $250 million senior credit facility—consisting of a $125 million cash-flow-based revolver, a $45 million term loan and an $80 million delayed-draw term loan, for Addus HomeCare.

Addus HomeCare provides comprehensive personal care services for consumers at home that assist with activities of daily living. Addus’s consumers are primarily people at risk of hospitalization or institutionalization without the services that Addus provides, such as the elderly, chronically ill and disabled. As one of the country’s leading homecare providers, Addus serves more than 34,000 consumers through 111 locations across 24 states. The new facility doubles the size of Addus’ available credit line.

“Home health care is a growing but highly fragmented market,” said Al Aria, senior managing director, Capital One Healthcare. “This facility will allow Addus to continue to expand in new and existing markets and to capitalize on the shift of dual-eligible patients to managed care plans through both organic growth and acquisition.” Most recently, Addus agreed to acquire Options Home Care, a subsidiary of HB Management Group and a provider of personal care services in more than 20 counties in New Mexico.

Capital One provided a flexible loan structure including $100 million in incremental term debt that will enable Addus to fund acquisitions quickly. “Completing this new credit facility under Capital One’s leadership significantly strengthens our ability to fund our organic growth and acquisition strategies,” said Dirk Allison, Addus President and Chief Executive Officer. “We are pleased with the financial solution provided by this bank group, and we appreciate their support.”

Capital One Healthcare is a provider of financial services to the industry. Customers across health care sectors—including senior housing, health care services, pharmaceuticals, medical devices, health care IT and medical offices—rely on Capital One Healthcare to finance acquisitions, refinance existing debt, support working capital needs and fund growth initiatives. With in-depth expertise, our team of professionals creates solutions tailored to meet the needs of our customers.

Visit capitalone.com and addus.com for more information.