Simpson Thacher represented Medline Inc. (“Medline”) in connection with a Rule 144A/Regulation S offering of $1.25 billion aggregate principal amount of 5.000% Senior Secured Notes due 2031 (the “2031 Notes”) and $750 million aggregate principal amount of 5.250% Senior Secured Notes due 2033 (the “2033 Notes” and, together with the 2031 Notes, the “Notes”) by certain of Medline’s subsidiaries.
In addition, the firm represented Medline in connection with an amendment to its existing credit agreement, which provided for the refinancing of a portion of Medline’s existing senior secured dollar-denominated term loan facility due 2030 with a new senior secured dollar-denominated term loan facility in an aggregate principal amount of approximately $2,750.0 million (the “2033 Refinancing Term Loan Facility”).
The net proceeds from the Notes offering, together with the borrowings under the 2033 Refinancing Term Loan Facility and cash on hand, were used to (i) repay in full all outstanding indebtedness under Medline’s existing senior secured dollar-denominated term loan facility due 2028, (ii) refinance approximately $724.0 million under its existing senior secured dollar-denominated term loan facility due 2030, (iii) redeem approximately $500.0 million of Medline’s 6.250% Senior Secured Notes due 2029 and (iv) pay the related fees and expenses.
Medline Inc. is the largest provider of medical-surgical products and supply chain solutions serving all points of care. Through its broad product portfolio, resilient supply chain and leading clinical solutions, Medline helps healthcare providers improve their clinical, financial and operational outcomes. Headquartered in Northfield, Ill., the company employs more than 45,000 people worldwide and operates in more than 100 countries.
The Simpson Thacher team for the transaction included Jonathan Ozner, Katharine Thompson, Evan Hunt, Erica Yoon, Kelsey Henderson and Karen Chan (Capital Markets); Brian Gluck, Adam Moss, Kyle Nelson and Roey Vardi (Banking and Credit); Jon Pall (Collateral); Courtney Welshimer and Matthew Richardson (Intellectual Property); Vanessa Burrows, Alison Peters and Jacob Madden (Healthcare); Michael Mann (Tax); Christine Song and Stanley Yu (Privacy); and Gary Tashjian and Guanxiong Xu (Executive Compensation and Employee Benefits).