JEDA Issues $1.9 Billion in Bonds for Novant Health Acquisition of Three SC Hospitals
Beaufort, Berkeley, Charleston, Georgetown, Hampton and Jasper Counties
The Novant Health bond issuance is the largest individual transaction in JEDA’s history
Retains 1,224 existing jobs in Beaufort, Berkeley, Charleston, Georgetown, Hampton and Jasper Counties
Novant Health is using a bond issue of $1,909,790,000 through the South Carolina Jobs-Economic Development Authority (JEDA) to refinance the acquisition costs of three hospital systems in coastal South Carolina.
Included in the acquisition are Coastal Carolina Hospital in Hardeeville, a 44-bed acute care hospital, East Cooper Medical Center in Mount Pleasant, a 140-bed acute care hospital, and Hilton Head Hospital in Hilton Head, a 93-bed acute care hospital. The acquisition from Tenet Healthcare Corporation also includes the associated physician clinics, imaging centers and laboratory services affiliated with each of these hospitals.
“Access to the favorable financing provided through JEDA was a critical piece to this transaction. We’re excited to expand our presence in South Carolina and are looking forward to providing comprehensive, remarkable care to these dynamic, growing communities.”
Alice Pope, Executive Vice President and Chief Financial Officer, Novant Health
“Tax-Exempt Health Care Facilities Revenue Bonds are an excellent resource for hospital systems committed to modernization and expansion and determined to keep the costs of delivering health care services as low as possible. We welcome Novant Health to South Carolina and are honored to be able to help build on its plans here. We appreciate the opportunity to work with Robinson Bradshaw and Hinson as Co-Bond Counsel to bring this transaction to a successful closing” said Alan Linkous, S.C. Bond Co-Counsel with Howell Linkous & Nettles in Charleston.
“The Novant Health bond issue is the single largest transaction in JEDA’s history, and JEDA is grateful to have been asked to serve as the issuer for this complex transaction. We look forward to Novant Health’s continued growth in South Carolina in the years to come,” said Jesse A. Smith, Executive Director of JEDA in Columbia.
