dealflow
envelope $200M

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The Medical Ctr Of Southeast Texas

dba Medical Center Of South East Texas · Port Arthur, Jefferson County, TX · CCN 450518
Licensed to Hsa Port Arthur, Llc

Already transacted. CMS recorded an ownership change effective 2024-10-30. Confirm the current owner before spending a call on this.
Composite
25.5
rank score
Distress
88
FY2023
Fit
84
vs thesis
Estimated ticket
$68.6M–$274M
196 beds · within envelope
Ownership
for-profit
STH

Why it ranks here

  • operating margin below -10%
  • total margin below -8%
  • current ratio below 0.8
  • occupancy below 30%
  • margin deteriorating sharply
  • TX: favorable regulatory climate
  • urban — higher occupancy and iteration surface
  • bed count in the target band
  • ticket size uses the capital envelope well
  • very low occupancy — limited volume to learn from
  • for-profit — no charitable conversion review
  • changed ownership 2024-10-30 — likely already transacted

Latest financials · FY2023

Net patient revenue$127M
Operating margin -19.1%
Total margin -17.3%
Days cash on hand
Current ratio 0.57
Occupancy27%

Facility

Beds196
Facility typeSTH
Settingurban
Ownership classfor-profit
Per-bed (low) $350K
Per-bed (high) $1.4M

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 185 $124M $1.3M -7.6% 0.9% 0 0.63 42% 6,159 67
2021 188 $142M $8.4M 5.2% 5.9% 0 1.21 43% 6,164 31
2022 196 $131M $1.3M -4.1% 1.0% 0 3.25 35% 5,150 47
2023 196 $127M $-22.4M -19.1% -17.3% 0.57 27% 4,368 88

Owners

OwnerRole%SinceType
Healthcare Systems Of America -Texas Llc
Glendale, CA
5% or greater direct ownership interest 100 2024-10
Mike Sarian 5% or greater indirect ownership interest 100 2024-10
Aimee Gill operational/managerial control 2024-10
Healthcare Systems Of America
Glendale, CA
5% or greater indirect ownership interest 2024-10

Ownership changes

DateTypeBuyerSeller
2024-10-30 change of ownership Hsa Port Arthur, Llc The Medical Center Of...

Who has been buying in TX

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

DateBuyerSellerHospitalBeds
2025-02-01 Texas Heart Hospital Of The Southwest Llc Baylor Heart & Vascular Center Llp Baylor Heart And Vascular Hospital 56
2024-10-30 Hsa Port Arthur, Llc The Medical Center Of Southeast Texas Lp The Medical Ctr Of Southeast Texas 196
2024-10-30 Hsa St. Joseph, Llc Sj Medical Center Llc St Joseph Medical Center 156
2024-10-17 Big Spring Texas Hospital Company Llc Steward Texas Hospital Holdings Llc Scenic Mountain Medical Center 75
2024-10-17 Odessa Texas Hospital Company Llc Odessa Regional Hospital Lp Odessa Regional Hospital 208
2024-06-01 Columbia Medical Center Of Denton... Decatur Health Services Llc Medical City Denton 184
2024-03-11 Nacogdoches County Hospital District Lion Star Nacogdoches Hospital, Llc Nacogdoches Memorial Hosp 160
2024-01-01 Ahs Sherman Llc Sherman Grayson Hospital Llc Wilson N Jones Regional Medical Ctr 214
2023-04-01 Methodist Healthcare System Of San... Hill Country Memorial Hospital Hill Country Memorial Hospital 57
2021-06-01 Methodist Hospitals Of Dallas Metsl, Llc Methodist Southlake Medical Center 22
2020-10-27 Hendrick Medical Center Armc Lp Hendrick Medical Center 533
2020-10-27 Hendrick Medical Center Brownwood Brownwood Hospital Lp Hendrick Medical Center Brownwood 63
2020-07-01 St Joseph Regional Health Center St Joseph Regional Health Center St. Joseph Regional Health Center 284
2020-04-01 Christus Santa Rosa Health Care Corporation Adventist Health System/sunbelt, Inc. Christus Santa Rosa - San Marcos 105
2020-03-01 Sana Healthcare Carrollton Baylor Medical Center At Carrollton Carrollton Regional Medical Center 89