DALLAS— Capital Senior Living Corp. (NYSE: CSU), an owner-operator of senior living communities across the United States, has closed the previously announced financing transactions with Conversant Capital and has raised a total of $154.8 million, including aggregate gross proceeds of approximately $34 million from a common stock rights offering.
With the closing of the transaction, the company’s board of directors has been reconstituted. Noah Beren, Benjamin Harris, Dave Johnson, Max Levy, Shmuel Lieberman and Elliot Zibel will join the board, effective immediately. Philip Brooks, Jill Krueger and company CEO Kimberly Lody will continue to serve as directors. Dave Johnson will serve as chairman.
“We are thrilled to close this critical transaction, which will allow us to address our immediate liquidity needs and going concern issues, and help pave the way for future growth,” says Lody. “Following a thorough and robust process, we are confident that this is the best path forward for shareholders, and we appreciate their engagement in this process.”
Concurrent with the other changes, the company will rebrand as Sonida Senior Living — a blend of “sonata,” a long piece of music with several parts, and “vida,” meaning life. The name change will go into effect Nov. 15, at which point the company’s New York Stock Exchange ticker symbol will change to SNDA.
“Two years ago, we updated the company’s branding to be more vibrant and inviting, better reflecting the engagement and celebrations that occur daily in our communities,” says Lody. “With this name change, our brand now fully reflects the essence of our business. Sonida Senior Living communities are filled with the music of life. We are committed to building communities where team members treat residents like friends and serve as caregivers, advocates and often as surrogate family, going above and beyond to create moving and memorable experiences that foster joy every day.”
Morgan Stanley & Co. LLC was the company’s financial advisor and Willkie Farr & Gallagher LLP was legal advisor, while Baker Botts LLP was counsel to the company’s board of directors. Fried, Frank, Harris, Shriver & Jacobson LLP acted as Conversant’s legal advisor in connection with the transactions. Sullivan & Cromwell LLP was Silk Partners’ legal advisor.
Dallas-based Capital Senior Living Corp. operates 75 communities that are home to nearly 7,000 residents across 18 states.