Capital Senior Living Corp., an owner-operator of senior living communities across the United States, has entered into an agreement with affiliates of Conversant Capital.
Under the terms of the agreement, which replaces, in its entirety, the previously announced investment agreement with Conversant, the company will raise up to $154.8 million through the combination of (a) the private placement of convertible preferred stock, common stock and warrants to Conversant; (b) an amended common stock rights offering to its existing stockholders, with a revised subscription price of $30 per share; and (c) an incremental $25 million accordion from Conversant for future investment at the company’s option, subject to certain conditions.
Conversant and one of the company’s largest shareholders, Arbiter Partners, will backstop the rights offering through the purchase of additional shares of common stock (if the rights offering is not fully subscribed). Arbiter and Silk Partners
