HealthSouth completes refinancing, cuts debt about $40 million

HealthSouth completes refinancing

BIRMINGHAM, Ala. — Inpatient rehabilitation services provider HealthSouth Corp. said Tuesday it completed its a refinancing it announced earlier and cut its debt about $40 million.

A tender offer and redemption of $326.9 million in senior notes due in 2014 was financed through $290 million in 8.125 percent senior notes due in 2020 plus cash the company had on hand, the company said.

HealthSouth expects to incur a charge of about $15 million in the fourth quarter for extinguishing the debt early.

Shares of HealthSouth rose 10 cents to $19 in after-hours trading after rising 12 cents to close at $18.90 during the regular trading session Tuesday.