CommonSpirit’s $3 Billion Deal Set to Boost Hospital Borrowings

CommonSpirit Healthplans to borrow nearly $3 billion next week, boosting supply in a sector of the municipal bond market that’s starting to see a rebound in debt sales.

The product of a 2019 merger, the health-care network is issuing $1.8 billion of taxable bonds and $1 billion in tax-exempt securities to fund improvements to facilities and to refinance existing debt, according to offering documents.

The fresh debt will bolster sales from a sector still recovering from battered finances. Issuance has declined since 2020 and fell 39% to $11.6 billion last year, the lowest since at least 2012, according to ...