HCA has filed for an initial public offering of as much as $4.6 billion, after pulling a previous IPO that had been issued in May, according to report by the New York Times.
The new filing puts the date of the IPO as next year, without further specification. It said it would use the proceeds "to repay certain of our existing indebtedness," which is not a strategy conducive to growth. Its debt stood at $26.08 billion at the end of September, with an interest expense of $1.57 billion.
Among factors that could harm its performance, HCA listed "our substantial debt," which involves debt agreements with certain regulations and said growth could be limited by the economy and competition. It cited the aging U.S. population as a factor that could boost growth.
HCA, bought by Bain Capital and Kohlberg Kravis Roberts in 2006, runs 162 hospitals and 104 ambulatory surgery centers in the United States and England. For the year through September, it earned $22.9 billion in revenues, $924 in net income and $4.4 billion in Ebitda.
Last month, HCA announced it would issue $1.53 billion in junk bonds to finance an additional $2 billion in dividends. Also in November, Fitch Ratings upgraded the company's rating outlook to "positive," removing it from "rating watch positive" status.
Read the New York Times report on HCA.
Read other coverage of HCA's initial public offerings:
- Fitch Ratings Upgrades HCA
- HCA Likely to Hold Off on IPO Until Next Year
- HCA's New Stock Offering May Inspire Other For-Profits
The new filing puts the date of the IPO as next year, without further specification. It said it would use the proceeds "to repay certain of our existing indebtedness," which is not a strategy conducive to growth. Its debt stood at $26.08 billion at the end of September, with an interest expense of $1.57 billion.
Among factors that could harm its performance, HCA listed "our substantial debt," which involves debt agreements with certain regulations and said growth could be limited by the economy and competition. It cited the aging U.S. population as a factor that could boost growth.
HCA, bought by Bain Capital and Kohlberg Kravis Roberts in 2006, runs 162 hospitals and 104 ambulatory surgery centers in the United States and England. For the year through September, it earned $22.9 billion in revenues, $924 in net income and $4.4 billion in Ebitda.
Last month, HCA announced it would issue $1.53 billion in junk bonds to finance an additional $2 billion in dividends. Also in November, Fitch Ratings upgraded the company's rating outlook to "positive," removing it from "rating watch positive" status.
Read the New York Times report on HCA.
Read other coverage of HCA's initial public offerings:
- Fitch Ratings Upgrades HCA
- HCA Likely to Hold Off on IPO Until Next Year
- HCA's New Stock Offering May Inspire Other For-Profits