It was an eventful quarter for CareTrust REIT. According to CEO Greg Stapley, the company significantly expended and extended its revolving credit facility and its seven-year term loan, while at the same time, reducing its interest rates and borrowing cost.
“We exhausted our ATM Program, raising $47 million in the quarter against healthy demand for our stock, and then we refreshed the ATM program with a new $300 million ATM that we can easily use to match-fund smaller acquisitions going forward,” he said.
He noted that the company raised almost $150 million in an overnight in April, which was nearly 4 times oversubscribed. “We made $290 million in new investments that we’re really excited about,” he said. “And best of all, most importantly, we brought on two outstanding new operators in the process. We did use the ATM in the overnight strategically to keep leverage down through this growth spurt which muted the per share numbers a bit, but we are raising guidance today and we’re really well positioned to grow when, where and how we want to over the next couple of years.”
According to Stapley, the company also remains earnestly engaged in finding and partnering with the very best healthcare operators in the country. “And we are more committed than ever to our operator-first underwriting approach and portfolio management model.”