Strategic financing transactions enable AccessOne to expand access to capital and liquidity
CHARLOTTE, N.C. – April 14, 2020 – AccessOne, a leading provider of patient financing solutions designed to help consumers manage their healthcare costs, today announced it has closed its first transaction in the asset-backed securitization market. PNC Capital Markets structured the facility and PNC Bank provided a commitment to the facility for 3 years, which allows the company to lock-in long-term capital at an attractive rate.
The proceeds from the transaction were used to pay down AccessOne’s current credit facility with PNC. In addition to the securitization transaction, the Company established a working capital line of credit facility with PNC. Stephens Inc served as financial advisor to AccessOne in the transaction.
“The combination of these two transactions enables AccessOne to lock in long-term capital, provide additional short-term liquidity and reduce our overall cost of capital, strengthening our ability to provide patient financing options for consumers with medical debt,” said Craig Rosato, AccessOne’s CFO. “We are pleased to have worked with PNC Bank and Stephens Inc. in achieving such a strong capital outcome for the benefit of our company and those we serve.”
As the emergence of the COVID-19 crisis sparked weeks of market turbulence, access to short-term financing is a top-of-mind concern for healthcare organizations. Meanwhile, 54 percent of consumers worry they are not financially prepared to handle the expense of a coronavirus diagnosis. The closing of these transactions positions AccessOne to provide vital support for healthcare organizations and consumers in a time of economic uncertainty.
“Closing these transactions in this volatile market underscores the strength of AccessOne’s business and team, the quality of our provider client base and the stability of PNC Bank,” said Mark Spinner, president and CEO of AccessOne. “Now more than ever, it’s clear healthcare providers need to offer all patients low-cost, highly flexible options to pay for their costs of care. This expanded access to capital helps us continue to grow our client base at a time when enabling our solutions to help protect the financial condition of healthcare organizations nationwide is so critically important.”
Stephens Inc. is a longtime financial advisor to AccessOne. Preparation for this transaction began in 2019 as AccessOne sought to further enable growth and lower its long-term costs of capital during a period of record-low interest rates and flattening yields.