dealflow
envelope $200M

← Targets

Palo Verde Behavioral Health

Tuscon, Pima County, AZ · CCN 034030
Licensed to Uhs Of Tucson Llc

Composite
69.9
rank score
Distress
74
FY2024
Fit
92
vs thesis
Estimated ticket
$16.2M–$64.7M
84 beds · within envelope
Ownership
for-profit
PH

Why it ranks here

  • operating margin negative
  • total margin -8% to -3%
  • under 30 days cash on hand
  • current ratio below 0.8
  • debt above 85% of assets
  • margin deteriorating sharply
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • bed count in the target band
  • ticket size somewhat below the envelope
  • strong occupancy — good iteration surface
  • for-profit — no charitable conversion review

Latest financials · FY2024

Net patient revenue$25.3M
Operating margin -4.3%
Total margin -3.7%
Days cash on hand 0
Current ratio 0.40
Occupancy85%

Facility

Beds84
Facility typePH
Settingurban
Ownership classfor-profit
Per-bed (low) $192K
Per-bed (high) $770K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2021 84 $26.0M $2.9M 10.6% 11.1% 0 0.38 78% 2,814 40
2022 84 $25.9M $1.2M 4.4% 4.7% 0 0.51 74% 2,665 36
2023 84 $22.2M $-3.3M -15.1% -14.7% 0 0.39 75% 2,763 88
2024 84 $25.3M $-934K -4.3% -3.7% 0 0.40 85% 3,159 74

Owners

OwnerRole%SinceType
Cheryl Ramagano corporate officer 100 2013-12
Cheryl Ramagano operational/managerial control 100 2013-12
George Brunner corporate officer 100 2013-12
Katharine Lyver corporate officer 100 2024-01
Matthew Klein corporate officer 100 2013-12
Matthew Peterson corporate officer 100 2019-09
Matthew Peterson operational/managerial control 100 2019-09
Steve Filton corporate officer 100 2013-12
Steve Filton operational/managerial control 100 2013-12
Thomas Day corporate officer 100 2021-07
Universal Health Services Inc
King Of Prussia, PA
5% or greater direct ownership interest 100 2013-09
Alan Miller 5% or greater indirect ownership interest 87 2024-03
James Coleman contracted managing employee 50 2013-12
Steve Filton contracted managing employee 50 2013-12
Uhs Of Delaware Inc
King Of Prussia, PA
operational/managerial control 50 2013-12
Matthew Peterson corporate director 33 2019-09
Steve Filton corporate director 33 2013-12
Thomas Day corporate director 33 2021-07
Anna Perreira contracted managing employee 2024-04
Anna Perreira corporate officer 2024-04
Lynn Myers contracted managing employee 2018-06
Lynn Myers corporate officer 2018-06
William Holt contracted managing employee 2024-04
William Holt corporate officer 2024-04

Ownership changes

No CMS ownership change on record since 2016 — this hospital has not traded in at least a decade.

Who has been buying in AZ

Completed CMS ownership changes in this state. These buyers already cleared the licensure process here — and whoever advised them knows this market.

DateBuyerSellerHospitalBeds
2025-03-20 College Medical Center Phoenix Llc St Lukes Behavioral Hospital Lp St. Lukes Behavioral Health Center 127