dealflow
envelope $200M

← Targets

Mercy Iowa City Rehabilitation Hospi

dba Eastern Iowa Rehabilitation Hospital, Llc · Coralville, Johnson County, IA · CCN 163026
Licensed to Eastern Iowa Rehabilitation Hospital, Llc

Composite
67.6
rank score
Distress
90
FY2023
Fit
63
vs thesis
Estimated ticket
$9.1M–$36.4M
40 beds · within envelope
Ownership
for-profit
RH

Why it ranks here

  • operating margin below -10%
  • total margin below -8%
  • under 30 days cash on hand
  • current ratio below 0.8
  • liabilities exceed assets
  • occupancy below 30%
  • part of a multi-hospital chain — divestiture candidate
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • small but workable bed count
  • small ticket — deploys little of the available capital
  • very low occupancy — limited volume to learn from
  • for-profit — no charitable conversion review

Latest financials · FY2023

Net patient revenue$7.6M
Operating margin -43.7%
Total margin -43.1%
Days cash on hand 18
Current ratio -0.21
Occupancy26%

Facility

Beds40
Facility typeRH
Settingurban
Ownership classfor-profit
Per-bed (low) $228K
Per-bed (high) $910K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 40 $3.5M $-1.7M -47.2% -47.0% 47 0.36 27% 185 88
2021 40 $8.8M $-1.3M -15.4% -14.8% 64 0.48 35% 475 81
2022 40 $8.3M $-2.2M -26.2% -26.0% 35 0.18 30% 407 91
2023 40 $7.6M $-3.3M -43.7% -43.1% 18 -0.21 26% 398 90

Owners

OwnerRole%SinceType
Dsb Acquisition Llc
New York, NY
5% or greater indirect ownership interest 100 2021-12
Lifepoint Health Inc
Brentwood, TN
5% or greater indirect ownership interest 100 2021-12 chain
Lifepoint Rehab Blocker Llc
Brentwood, TN
5% or greater indirect ownership interest 100 2021-12
Lifepoint Rehab Blocker Parent Llc
Brentwood, TN
5% or greater indirect ownership interest 100 2021-12
Lifepoint Rehab Llc
Brentwood, TN
5% or greater indirect ownership interest 100 2021-12
Lpnt Development 7 Llc
Brentwood, TN
5% or greater direct ownership interest 100 2018-07
Charlotte Lawrence corporate officer 2024-07
Chc Management Services Llc
Louisville, KY
operational/managerial control 2018-07
Christopher Monte corporate officer 2024-07
John Grooms corporate officer 2024-07
Joseph Fuller corporate officer 2024-07
Marcus Poppell other 2021-12
Martin Mann corporate officer 2024-07
Robin Honomichl w-2 managing employee 2024-05
Russell Bailey corporate officer 2024-07

Ownership changes

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