JPMorgan, Wells Commit $1 Billion Loan for Select Medical

JPMorgan Chase & Co. and Wells Fargo & Co. are providing about $1 billion in debt to support the management buyout of hospital operator Select Medical Holdings, according to people with knowledge of the transaction.

Select Medical agreed on Monday to be purchased by a consortium at a $3.9 billion enterprise value. JPMorgan and Wells Fargo, the joint lead arrangers and bookrunners on the deal, will roll up the hospital operator’s existing debt into the loan, said the people, who asked not to be identified because the information isn’t public. The loan will be in the form of a revolving credit facility, the people added.