The Denver-based dialysis provider has maintained its financial guidance for the rest of the year.
DaVita Inc. announced Tuesday morning that it has commenced with a $1.75 billion offering of senior notes due 2030.
The Denver-based dialysis provider stated that the net proceeds will be used to redeem "all $1.75 billion aggregate principal amount outstanding of the 2024 notes," along with fees and expenses related to the offering.
Before the offering closes, DaVita will "deliver a notice of conditional redemption to holders of its 5.125% senior notes due 2024 (the "2024 notes") stating that the entire principal amount outstanding of such 2024 notes will be redeemed on July 15, 2020."
DaVita released its Q1 2020 earnings report last month, where the company recorded consolidated revenues of $2.8 billion.
Additionally, the company has maintained its financial guidance for the rest of the year despite the ongoing coronavirus disease 2019 (COVID-19) outbreak.
Related: Year-end Revenues Plateau but Net Income Spikes for DaVita
DaVita is the latest healthcare company to commence with a debt offering above $1 billion.
In late March, Humana Inc. announced that it priced its debt offering at $1.1 billion.
Related: Humana Prices Debt Offering at $1.1B, Makes Annual Stockholder Meeting Virtual
Jack O'Brien is the Content Team Lead and Finance Editor at HealthLeaders, an HCPro brand.
Photo credit: St. Joseph, Missouri / United States of America - March 26 2019: Davita Kidney Care in downtown St. Joseph. - Image / Editorial credit: APN Photography / Shutterstock.com