Bankrupt Mercy Hospital Secures Up to $30 Million DIP Financing

Mercy Hospital and Medical Center seeks approval of as much as $30 million in debtor-in-possession financing from Trinity Health Corp., an Indiana non-profit Catholic health system that operates 92 hospitals.

• DIP consists of secured revolving credit facility that carries 5% interest rate, well below typical rate of 10-12% for bankrupt health facilities, according to Thursday court filing
• Mercy owed Trinity $136.9 million, consisting of $83 million in funding advances and a $53.9 million loan, as of the petition date
• At the time of filing, hospital had about $3.3 million in cash
• Expects revenues of about $3.04 million to $3.275 ...