Sound Physicians Announces Transformative Transaction to Increase Liquidity

Sound Physicians has announced a successful refinancing deal with lenders, securing an additional $124 million in capital. The transaction aims to fortify the company's financial position and enhance its operations. This new influx of capital is expected to facilitate investments in operations and innovation, drive growth, and provide better support for physicians.

The refinancing deal includes a significant reduction in pre-transaction debt and extends the maturity of the company's loan facilities until at least 2028. This move is a strong indicator of continued support from Sound Physicians' financial partners.

The agreement involves lenders holding approximately 85% of the existing first-lien secured debt and roughly 89% of the existing second-lien secured debt. Additionally, Sound Physicians is in talks with its remaining lenders to participate in the transaction before it closes.

Jeff Alter, CEO of Sound Physicians, highlighted the importance of the transaction in strengthening the company's balance sheet. He stated that with the new capital and financial flexibility, Sound Physicians is well-positioned to meet the needs of its hospital partners and clinicians, aiming to continue its growth trajectory.