Beaumont Health to refinance $408.8M in revenue bonds

Beaumont Health, an eight-hospital system based in Royal Oak Mich., plans to refinance $408.8 million in hospital revenue bonds through the Michigan Finance Authority, according to Moody’s Investors Service.

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Moody’s has assigned an “A1” rating to the series 2015A hospital revenue refunding bonds, which have an expected sale date of Jan. 21.

The rating assignment was based on a number of factors, including Beaumont’s dominant market position, with a leading 31 percent market share in its service area.

Beaumont has a stable financial outlook; however, Moody’s said “unexpected deviations from projections due to the inability to effect a smooth merger of the three legacy organizations may result in a rating downgrade.”

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