AMN Healthcare Announces Pricing of Senior Notes Offering

Rhea-AI Summary

AMN Healthcare (NYSE: AMN) has announced the pricing of $400.0 million senior unsecured notes due 2031 with an interest rate of 6.500% per annum. The notes will be issued at 100.0% of face value and guaranteed by the company's affiliates that guarantee its credit facilities.

The company plans to use the proceeds, along with cash on hand and borrowings under a new revolving facility, to redeem all $500.0 million of its 4.625% senior notes due 2027. The redemption is scheduled for October 22, 2025, subject to the successful completion of the 2031 Notes offering, which is expected to close on October 6, 2025.

AMN Healthcare, as the leader in healthcare total talent solutions, served nearly 15 million patients at more than 2,100 healthcare systems in 2024, including 87% of top healthcare systems nationwide.

Positive

• Strategic refinancing of debt with extended maturity to 2031
• Strong market position serving 87% of top healthcare systems nationwide
• Extensive healthcare professional network reaching 15 million patients
• Comprehensive coverage across 2,100+ healthcare systems

Negative

• Higher interest rate of 6.500% on new notes compared to 4.625% on existing notes
• Increased debt service costs due to higher interest rate

Insights

Corporate Finance Expert

AMN Healthcare's debt refinancing extends maturity but increases interest costs by nearly 200 basis points, suggesting higher long-term financing costs.

AMN Healthcare is executing a significant debt refinancing, replacing $500 million of 4.625% notes due 2027 with $400 million of 6.5% notes due 2031. While this transaction extends the debt maturity by four years, there are notable financial implications. The company is accepting a substantially higher interest rate—nearly 200 basis points more—reflecting the current higher interest rate environment compared to when the 2027 notes were issued.

This refinancing will result in two key changes: 1) A reduction in total debt by $100 million, which will be funded through cash on hand and a new revolving credit facility, potentially improving the company's leverage ratio; and 2) Higher annual interest expenses despite the lower principal amount. The 6.5% rate on $400 million will cost approximately $26 million annually versus about $23.1 million on the previous notes—a $2.9 million increase in annual interest burden.

The transaction indicates AMN is prioritizing extended debt maturity over lower interest costs, suggesting management believes current rates may persist or potentially rise further. Notably, the company is targeting qualified institutional buyers for this private placement rather than conducting a public offering, which may indicate a desire for a faster execution process. The company's ability to secure this financing demonstrates continued access to capital markets despite operating in the challenging healthcare staffing industry.

DALLAS, Sept. 22, 2025 (GLOBE NEWSWIRE) -- AMN Healthcare Services, Inc. (NYSE: AMN), announced today that its wholly owned subsidiary, AMN Healthcare, Inc., priced its previously announced private offering of $400.0 million aggregate principal amount of senior unsecured notes due 2031. The 2031 Notes will bear an interest rate of 6.500% per annum and will be issued at 100.0% of their face value. The 2031 Notes will be guaranteed by the Company’s affiliates that guarantee the Company’s credit facilities.

The Company intends to use the proceeds from the private offering, together with cash on hand and borrowings under a new revolving facility that the Company intends to enter into substantially concurrently with the completion of this notes offering, (i) to redeem all of the $500.0 million aggregate principal amount of its 4.625% senior unsecured notes due 2027 outstanding and (ii) to pay fees and expenses related to the offering.

In addition, the Company delivered a Conditional Notice of Redemption to holders of its outstanding 2027 Notes, which provides for the redemption by the Company of all of the $500.0 million aggregate principal amount of 2027 Notes outstanding on October 22, 2025, subject to the successful completion of offering of the 2031 Notes.

The offering is expected to close October 6, 2025, subject to satisfaction of customary closing conditions.

The 2031 Notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act of 1933, as amended, and to non-U.S. persons outside of the United States in compliance with Regulation S under the Securities Act. The 2031 Notes will not be registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the 2031 Notes, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.

About AMN Healthcare

AMN Healthcare is the leader and innovator in total talent solutions for healthcare, bringing together the people, processes and technology to deliver better care. Through a steadfast partnership approach, we solve the most pressing workforce challenges to enable better clinical outcomes and access to care. In 2024, our healthcare professionals reached nearly 15 million patients at more than 2,100 healthcare systems, including 87 percent of the top healthcare systems nationwide. We provide a comprehensive network of quality healthcare professionals and deliver a fully integrated and customizable suite of workforce technologies.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended. Actual results could differ materially from those discussed in, or implied by, these forward-looking statements. Forward-looking statements are identified by words such as “believe,” “anticipate,” “expect,” “intend,” “plan,” “will,” “should,” “would,” “project,” “may,” “estimates,” variations of such words and other similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. Factors that could cause actual results to differ from those implied by the forward-looking statements contained in this press release are set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 and its other periodic reports as well as the Company’s current and other reports filed from time to time with the Securities and Exchange Commission. Be advised that developments subsequent to this press release are likely to cause these statements to become outdated.

Contact:

Randle Reece
Vice President, Investor Relations & Strategy
866-861-3229

FAQ

What is the size and interest rate of AMN Healthcare's new senior notes offering?

AMN Healthcare is offering $400.0 million in senior unsecured notes due 2031 with an interest rate of 6.500% per annum, issued at 100.0% of face value.

How will AMN Healthcare use the proceeds from the 2031 Notes?

The proceeds will be used to redeem $500.0 million of 4.625% senior notes due 2027, along with cash on hand and borrowings from a new revolving facility.

When is the expected closing date for AMN's 2031 Notes offering?

The offering is expected to close on October 6, 2025, subject to customary closing conditions.

What is AMN Healthcare's market presence in the healthcare industry?

AMN Healthcare serves 87% of top healthcare systems nationwide, reaching nearly 15 million patients across more than 2,100 healthcare systems in 2024.

When will AMN Healthcare redeem its existing 2027 Notes?

AMN Healthcare plans to redeem all outstanding 2027 Notes on October 22, 2025, subject to successful completion of the 2031 Notes offering.