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Wednesday, Apr 1, 2026
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Skilled Strikes Financing Deal, Expects Higher Interest

Skilled Healthcare Group Inc., a Foothill Ranch-based nursing home operator, said Monday it’s struck a financing deal worth $460 million that stands to raise the amount of interest the company pays this year.

Skilled said it took out a credit line and loan to pay off existing debt that was coming due in 2012.

The company’s new $360 million term loan matures in early 2016. A $100 million revolving credit line is due in 2015.

The loan and credit line have an interest rate equal to the London Interbank Offered Rate plus 3.75%.

The interest rate on the debt is higher than on Skilled’s prior loan and credit line.

The company said it expects to pay $4.8 million more in interest expense this year than previously expected.

Last year, Skilled paid about $33 million in interest.

The company, which operates 100 nursing homes in California and other states, has yearly revenue of $760 million.

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