dealflow
envelope $200M

← Targets

First Care Medical Services

dba Essentia Health Fosston · Fosston, Polk County, MN · CCN 241357
Licensed to First Care Medical Services

Composite
29.5
rank score
Distress
29
FY2024
Fit
41
vs thesis
Estimated ticket
$2.1M–$4.2M
25 beds · within envelope
Ownership
nonprofit
CAH

Why it ranks here

  • 30-60 days cash on hand
  • occupancy below 30%
  • margin deteriorating
  • rural — cheaper but limited density
  • small but workable bed count
  • very small ticket — sub-scale as a platform asset
  • very low occupancy — limited volume to learn from
  • nonprofit — expect AG conversion review

Latest financials · FY2024

Net patient revenue$31.1M
Operating margin 3.9%
Total margin 12.7%
Days cash on hand 48
Current ratio 5.14
Occupancy16%

Facility

Beds25
Facility typeCAH
Settingrural
Ownership classnonprofit
Per-bed (low) $85.0K
Per-bed (high) $170K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2021 25 $29.2M $5.3M 10.0% 16.8% 42 1.59 21% 346 26
2022 25 $29.1M $-494K -1.6% -1.7% 53 3.78 15% 318 49
2023 25 $30.4M $2.5M 1.6% 7.6% 40 6.04 12% 206 32
2024 25 $31.1M $4.4M 3.9% 12.7% 48 5.14 16% 270 29

Owners

OwnerRole%SinceType
Aarick Jackson corporate director 2020-01
Alan Hurley corporate officer 2023-05
Alan Hurley w-2 managing employee 2023-05
Benjamin Smith corporate director 2022-05
Beverly Horn corporate director 2017-01
Douglas Arvin corporate officer 2023-05
Douglas Arvin w-2 managing employee 2023-05
Innovis Health Llc
Fargo, ND
operational/managerial control 2017-01
James Christensen corporate director 2020-01
Joel Haugen corporate director 2017-01
Laurie Lewandowski corporate director 2017-01
Mark Finstad corporate director 2022-02
Michael Watters corporate director 2023-07
Stefanie Gefroh Ellison corporate officer 2024-08
Taylor Mertz corporate director 2022-05
Tim Heilman corporate director 2020-01

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 MN

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

DateBuyerSellerHospitalBeds
2023-01-01 Centracare Health - Benson Llc Swift County-Benson Hospital Centracare - Benson 11
2021-07-01 Welia Health County Of Kanabec Welia Health 25
2020-05-01 Healthpartners Rc Renville County Olivia Hospital And Clinics 16
2020-01-01 Avera Granite Falls Granite Falls Municipal Hospital And Manor Avera Granite Falls 25
2019-01-01 Carris Health - Redwood Llc Redwood Area Hospital Carris Health-Redwood Llc 14
2018-01-01 Mayo Clinic Health... Mayo Clinic Health System - Waseca Mayo Clinic Health System - Waseca 15
2018-01-01 Mayo Clinic Health... Mayo Clinic Health System - New Prague Mayo Clinic Health Sys - New Prague 20
2018-01-01 Mayo Clinic Health... Mayo Clinic Health System-Cannon Falls Cannon Falls Medical Center - Mayo 15
2016-08-01 Cuyuna Regional Medical Center Cuyuna Range Hospital District Cuyuna Regional Medical Center 25