Tenet Healthcare issues $2B in senior notes to refinance debt

Tenet Healthcare Corporation (NYSE: THC) issued $2 billion in aggregate principal amount of 6.250% senior notes due 2034 on September 22, 2026, according to a press release statement.

The notes were issued under an indenture dated November 6, 2001, between the company and The Bank of New York Mellon Trust Company, N.A., as successor trustee, as supplemented by a forty-third supplemental indenture dated September 22, 2026.

Tenet Healthcare said it intends to use the net proceeds, after fees and expenses, combined with cash on hand, to redeem all $1.5 billion of its outstanding 5.125% senior secured first lien notes due November 2027 and to partially redeem $500 million of its 6.125% senior notes due October 2028.

The indenture includes covenants restricting the company and its subsidiaries from incurring liens, entering into sale and lease-back transactions, and consolidating, merging, or selling substantially all of their assets, with certain exceptions. The indenture does not restrict the company's ability to incur additional indebtedness, pay dividends, or make distributions related to capital stock.

Prior to September 15, 2029, the company may redeem the notes at 100% of the principal amount plus a make-whole premium and accrued interest. On or after that date, redemptions may occur at prices specified in the indenture, plus accrued and unpaid interest.

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