HealthSouth to offer $300M aggregate principal amount of senior notes through private placement

HealthSouth Corporation (NYSE: HLS) today announced it intends to offer through a private placement, subject to market and other conditions, $300 million aggregate principal amount of senior notes due 2025 (the "Notes"). The Notes will be jointly and severally guaranteed on a senior unsecured basis by all of the Company's existing and future subsidiaries that guarantee borrowings under the Company's credit agreement and other capital markets debt.

The Company intends to use the net proceeds from this private offering to fund a portion of its previously announced acquisition of the operations of Reliant Hospital Partners, LLC and affiliated entities ("Reliant") and to pay fees and expenses related to the Reliant acquisition, which is expected to close in the fourth quarter of 2015. This private offering, however, is not conditioned upon the completion of the Reliant acquisition, and the Reliant acquisition is subject to conditions that do not include the consummation of this offering.

The Notes will be offered in the United States to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and outside the United States pursuant to Regulation S under the Securities Act. The Notes and the related guarantees have not been registered under the Securities Act, or any state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws.