dealflow
envelope $200M

← Targets

Ascension Borgess Hospital

dba Beacon Kalamazoo · Kalamazoo, MI · CCN 230117
Licensed to Ascension Borgess Hospital

Composite
63.7
rank score
Distress
85
FY2024
Fit
59
vs thesis
Estimated ticket
$16.5M–$33.0M
236 beds · within envelope
Ownership
nonprofit
STH

Why it ranks here

  • operating margin below -10%
  • total margin below -8%
  • under 30 days cash on hand
  • current ratio under 1.5
  • liabilities exceed assets
  • occupancy 45-60%
  • margin deteriorating sharply
  • part of a multi-hospital chain — divestiture candidate
  • rural — cheaper but limited density
  • bed count in the target band
  • small ticket — deploys little of the available capital
  • moderate occupancy
  • nonprofit — expect AG conversion review

Latest financials · FY2024

Net patient revenue$360M
Operating margin -34.4%
Total margin -28.6%
Days cash on hand 21
Current ratio 1.18
Occupancy54%

Facility

Beds236
Facility typeSTH
Settingrural
Ownership classnonprofit
Per-bed (low) $70.0K
Per-bed (high) $140K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2021 291 $443M $77.6M -6.0% 14.2% 21 0.93 56% 13,436 63
2022 288 $422M $-54.0M -24.2% -11.4% 1 0.80 53% 11,799 90
2023 228 $374M $-98.4M -36.4% -23.9% 0 0.81 60% 11,001 86
2024 236 $360M $-108M -34.4% -28.6% 21 1.18 54% 11,369 85

Owners

OwnerRole%SinceType
Beacon Health System Inc
South Bend, IN
operational/managerial control 2025-07 chain
Irene Maffetone w-2 managing employee 2025-07
Jeffrey Costello corporate officer 2025-07
Jeffrey Costello w-2 managing employee 2025-07
Kreg Gruber corporate officer 2025-07

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 MI

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

DateBuyerSellerHospitalBeds
2018-07-01 St Joseph Mercy Chelsea Inc Trinity Health-Michigan Chelsea Hospital 79