Tenet Healthcare Corp. raised $4.6 billion to help fund the purchase of Vanguard Health Systems Inc. in its largest bond sale ever.
The U.S. hospital chain issued $2.8 billion of 8.125 percent senior unsecured bonds maturing in April 2022 that yield 543 basis points more than similar-maturity Treasuries and $1.8 billion of 6 percent secured notes due October 2020 at 367 basis points, according to data compiled by Bloomberg.
Bank of America Corp., Barclays Plc, Citigroup Inc. and Wells Fargo & Co. managed the offering for the Dallas-based company, Bloomberg data show. Tenet issued $1.05 billion of bonds in May.
Tenet agreed to buy Vanguard for about $1.8 billion in cash, adding 28 hospitals in the Chicago, Phoenix, Detroit, Boston and San Antonio regions, the companies said June 24.