Gruppo San Donato, an Italian healthcare provider, is in the market with a EUR 600 mn 6NC2 senior secured bond offering. Proceeds from the bond offering and a new EUR 320 mn term loan will be used to repay EUR 600 mn of senior facilities, upstream EUR 305 mn to the parent to repay existing debt and pay EUR 15 mn of transaction fees. We see fair value for the proposed notes in the 6.5% area.