NHI Prices Offering of Senior Notes
National Health Investors (NYSE:NHI) has priced a significant offering of $350 million Senior Notes due 2033. The notes will be issued at 98.903% of par value with a 5.350% coupon rate, with interest payable semi-annually starting February 1, 2026.
The offering, expected to close on September 26, 2025, will primarily be used to reduce borrowings under NHI's $700 million revolving credit facility. Additional proceeds will support working capital, acquisitions, mortgage investments, and debt repayment. J.P. Morgan, BofA Securities, and Wells Fargo Securities are among the joint book-running managers for this debt offering.
- Successful pricing of $350 million Senior Notes offering demonstrates strong market access
- Strategic debt refinancing through revolving credit facility reduction improves debt structure
- Multiple tier-1 financial institutions participating as book-running managers indicates strong institutional support
- 5.350% coupon rate represents significant interest expense
- Notes being issued at a discount (98.903% of par value) increases effective borrowing cost
- Additional long-term debt commitment through 2033 increases financial obligations
Insights
NHI's $350M senior notes offering at 5.350% strengthens financial flexibility while managing debt costs in the current rate environment.
National Health Investors has successfully priced a
This debt issuance represents a strategic financing move for NHI, as the proceeds will primarily reduce borrowings under their
The underwriting team includes major financial institutions led by J.P. Morgan, BofA Securities, and Wells Fargo Securities as joint book-running managers, indicating strong institutional support for the offering. The expected close date of September 26, 2025, suggests an efficient execution timeline.
Beyond paying down the revolving facility, NHI has wisely maintained flexibility by noting the proceeds could fund acquisitions, mortgage investments, or additional debt repayment. This multi-purpose approach provides management with capital allocation options to potentially enhance shareholder value through strategic growth initiatives or further balance sheet optimization.
MURFREESBORO, TN / ACCESS Newswire / September 22, 2025 / National Health Investors, Inc. (NYSE:NHI) announced today that it priced an offering of
NHI intends to use the net proceeds from this offering to reduce borrowings outstanding under its
J.P. Morgan, BofA Securities, Wells Fargo Securities, BMO Capital Markets, and KeyBanc Capital Markets are acting as joint book-running managers for the offering. Regions Securities LLC and Huntington Capital Markets are acting as senior co-managers and Stifel, Hancock Whitney Investment Services, Inc., and Pinnacle are acting as co-managers.
NHI has filed an effective registration statement (including a prospectus supplement and accompanying base prospectus) with the Securities and Exchange Commission (the "SEC") relating to the offering to which this communication relates. Before making an investment in the Notes, potential investors should read the prospectus supplement, the accompanying prospectus and the other documents that NHI has filed with the SEC for more complete information about us and the offering. Potential investors may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies may be obtained from: J.P. Morgan Securities LLC, 383 Madison Ave, New York, NY 10179, Attn - Investment Grade Syndicate Desk, Tel - 212-834-4533; Wells Fargo Securities, LLC, at 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402, Attention: WFS Customer Service, by telephone at 1-800-645-3751, or by email at wfscustomerservice@wellsfargo.com; or BofA Securities, Inc., NC1-022-02-25 at 201 North Tryon Street, Charlotte, NC 28255-0001, Attn: Prospectus Department, by email at dg.prospectus_requests@bofa.com.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these Notes in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offer or sale of the Notes will be made only by means of a prospectus supplement relating to the offering of the Notes and the accompanying prospectus.
About NHI
Incorporated in 1991, National Health Investors, Inc. (NYSE:NHI) is a real estate investment trust specializing in sale, leasebacks, joint-ventures, senior housing operating partnerships, and mortgage and mezzanine financing of need-driven and discretionary senior housing and medical investments. NHI's portfolio consists of independent living, assisted living and memory care communities, entrance-fee retirement communities, skilled nursing facilities, and specialty hospitals.
This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements regarding the completion and timing of the proposed offering of securities by the Company and the intended use of net proceeds of such offering, and similar statements, including, without limitation, those containing words such as "may", "will", "should", "believes", "anticipates", "expects", "intends", "estimates", "plans", "projects", "target", "likely" and other similar expressions are forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties that may cause our actual results in future periods to differ materially from those projected or contemplated in the forward-looking statements. Such risks and uncertainties include, among other things: the operating success of our property managers, tenants and borrowers for collection of our lease and interest income; the risk that our property managers, tenants and borrowers may become subject to bankruptcy or insolvency proceedings; risks related to the concentration of a significant percentage of our portfolio to a small number of tenants; actual or perceived risks associated with pandemics, epidemics or outbreaks on our property managers', tenants' and borrowers' businesses and results of operations; risks related to governmental regulations and payors, principally Medicare and Medicaid, and the effect that lower reimbursement rates would have on our tenants' and borrowers' business; the risk that the cash flows of our property managers, tenants and borrowers would be adversely affected by increased liability claims and liability insurance costs; the risk that we may not be fully indemnified by our property managers, lessees and borrowers against future litigation; the success of property development and construction activities, which may fail to achieve the operating results we expect; the risk that the illiquidity of real estate investments could impede our ability to respond to adverse changes in the performance of our properties; the concentration of our investments in healthcare properties; inflation and increased interest rates; adverse developments affecting the financial services industry, including events or concerns involving liquidity, defaults, or non-performance by financial institutions; adverse geopolitical developments; operational risks with respect to our senior housing operating portfolio structured communities; risks related to our ability to maintain the privacy and security of our information; risks related to environmental laws and the costs associated with liabilities related to hazardous substances; the risk of damage from catastrophic weather and other natural or man-made disasters and the physical effects of climate change; the success of our future acquisitions and investments; our ability to reinvest cash in real estate investments in a timely manner and on acceptable terms; our ability to retain our management team and other personnel and attract suitable replacements should any such personnel leave; the risk that our assets may be subject to impairment charges; the potential need to incur more debt in the future, which may not be available on terms acceptable to us; our ability to meet covenants related to our indebtedness which impose certain operational limitations and a breach of those covenants could materially adversely affect our financial condition and results of operations; our dependence on revenues derived mainly from fixed rate investments in real estate assets, while a portion of our debt bears interest at variable rates; and our dependence on the ability to continue to qualify for taxation as a real estate investment trust and other risks which are described under the heading "Risk Factors" in Item 1A in our Form 10-K for the year ended December 31, 2024 and our Form 10-Q for the quarter ended June 30, 2025. Many of these factors are beyond the control of NHI and its management. NHI assumes no obligation to update any of the foregoing or any other forward looking statements, except as required by law, and these statements speak only as of the date on which they are made. Investors are urged to carefully review and consider the various disclosures made by NHI in its periodic reports filed with the Securities and Exchange Commission, including the risk factors and other information in the above referenced Form 10-K. Copies of each filing may be obtained from NHI or the SEC.
Contact:
Dana Hambly,
Vice President, Finance & Investor Relations
Phone: (615) 890-9100
SOURCE: National Health Investors
View the original press release on ACCESS Newswire
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