RadNet prices 10⅜% senior notes due 2018

RadNet, Inc. (Nasdaq:RDNT), (the "Company"), a national leader in providing high-quality, fixed-site outpatient diagnostic imaging services through a network of 180 imaging centers, today announced the pricing of its offering of $200 million in aggregate principal amount of 10⅜% senior notes due 2018 (the "Notes") at an issue price of 98.680%. The Notes will be issued by the Company's wholly-owned subsidiary Radnet Management, Inc. (the "Issuer") and guaranteed jointly and severally on a senior basis by the Company and all of the Issuer's current and future wholly-owned domestic restricted subsidiaries.

Concurrently with the closing of this offering, which is expected to occur on April 6, 2010, the Issuer intends to terminate its existing senior secured credit facilities and enter into a new $285 million secured term loan and a new $100 million secured revolving credit facility, which is expected to be undrawn at closing.

The Company estimates that the net proceeds from the offering, together with the proceeds of borrowings under its new senior secured credit facilities, will be $485 million, before related fees and offering expenses. The Company intends to use the net proceeds to refinance its existing senior secured credit facilities, fund its previously announced acquisitions currently under letters of intent, increase the cash available on its balance sheet to more then $25 million and pay related fees and expenses.

The Notes were offered and sold in a private placement exempt from registration under the Securities Act to qualified institutional buyers pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended (the "Securities Act").

SOURCE RadNet, Inc.