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Long-Term Debt (Tables)
6 Months Ended
Jun. 30, 2023
Debt Disclosure [Abstract]  
Schedule of Long-term Debt Instruments
As of June 30, 2023, and December 31, 2022, long-term debt consisted of the following:
Key TermsJune 30, 2023December 31, 2022
(in thousands)CharacterPriorityMaturityCoupon
Term Loan BTerm LoanSenior Secured
9/1/2028(1)
Variable(2)
$1,301,813 $1,308,438 
5.50% Senior Secured Notes
NotesSenior Secured9/1/2028
5.50%
1,050,000 1,050,000 
5.750% Notes
NotesSenior Unsecured11/1/2028
5.750%
1,025,958 1,163,793 
Senior Convertible PIK Notes
Convertible Notes(3)
Senior Unsecured10/15/2027
Cash Interest 6.00%, PIK Interest 7.00%
1,300,000 1,300,000 
Finance lease obligations, non-currentOtherSenior Secured2022-2024
3.38% - 20.31%
23 45 
Long-term debt4,677,794 4,822,276 
Less: current portion of long-term debt(13,250)(13,250)
Discount - Term Loan B(10,238)(11,129)
Discount – Senior Convertible PIK Notes(21,441)(23,600)
Less: debt discounts, net(31,679)(34,729)
Debt issuance costs - Term Loan B(5,574)(6,060)
Debt issuance costs - 5.50% Senior Secured Notes
(11,783)(12,608)
Debt issuance costs - 5.750% Notes
(11,925)(13,773)
Less: debt issuance costs, net(29,282)(32,441)
Long-term debt, net$4,603,583 $4,741,856 
(1)Beginning December 31, 2021 and quarterly thereafter, we will repay a principal amount of the Term Loan B equal to 0.25% of the initial aggregate principal of $1,325.0 million. These scheduled principal repayments may be reduced by any voluntary or mandatory prepayments made in accordance with the credit agreement.
(2)Interest on Term Loan B and Revolver B is calculated, at MPH's option, as (a) LIBOR (or, with respect to the term loan facility only, 0.50%, whichever is higher), plus the applicable margin, or (b) the highest rate of (1) prime rate, (2) the federal funds effective rate, plus 0.50%, (3) the LIBOR for an interest period of one month, plus 1.00% and (4) 0.50% for Term Loan B and 1.00% for Revolver B, in each case, plus an applicable margin of 4.25% for Term Loan B and between 3.50% and 4.00% for Revolver B, depending on MPH's first lien debt to consolidated EBITDA ratio. The interest rate in effect for Term Loan B was 9.73% as of June 30, 2023. Effective as of July 1, 2023, LIBOR will be replaced by Term SOFR as described in the New Accounting Pronouncements Adopted section of Note 1 General Information and Basis of Accounting.
(3)The Senior Convertible PIK Notes are convertible into shares of Class A common stock based on a $13.00 conversion price, subject to customary anti-dilution adjustments.