dealflow
envelope $200M

← Targets

Palestine Regional Medical Center

Palestine, Anderson County, TX · CCN 450747
Licensed to Palestine Principal Healthcare Limited Partnership

Composite
66.0
rank score
Distress
82
FY2023
Fit
68
vs thesis
Estimated ticket
$10.4M–$20.7M
148 beds · within envelope
Ownership
for-profit
STH

Why it ranks here

  • operating margin below -10%
  • total margin below -8%
  • 30-60 days cash on hand
  • current ratio below 0.8
  • occupancy 30-45%
  • margin deteriorating sharply
  • part of a multi-hospital chain — divestiture candidate
  • TX: favorable regulatory climate
  • rural — cheaper but limited density
  • bed count in the target band
  • very small ticket — sub-scale as a platform asset
  • thin occupancy
  • for-profit — no charitable conversion review

Latest financials · FY2023

Net patient revenue$90.6M
Operating margin -15.4%
Total margin -14.3%
Days cash on hand 34
Current ratio 0.35
Occupancy41%

Facility

Beds148
Facility typeSTH
Settingrural
Ownership classfor-profit
Per-bed (low) $70.0K
Per-bed (high) $140K

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 148 $74.4M $7.8M 1.6% 9.6% 0 0.82 34% 3,239 43
2021 148 $-82.4M 43% 3,153
2022 148 $90.7M $2.9M 2.8% 3.2% 0 0.16 41% 2,704 41
2023 148 $90.6M $-13.1M -15.4% -14.3% 34 0.35 41% 2,469 82

Owners

OwnerRole%SinceType
Knight Health Holdings Llc
Louisville, KY
5% or greater indirect ownership interest 100 2021-12
Knight Health Ii, Llc
Louisville, KY
5% or greater indirect ownership interest 100 2021-12
Alan Wenk corporate officer 2025-03
Bernard Pogue contracted managing employee 2023-11
Dana Rock corporate officer 2024-12
Jacquelyn Davis contracted managing employee 2023-12
Johnetta Traylor corporate officer 2024-12
Kindred Healthcare Operating Llc
Louisville, KY
operational/managerial control 2021-12 chain
Knight Healthcare New-B, Llc
Louisville, KY
5% or greater direct ownership interest 2021-12
Michael Bean corporate officer 2022-01
Palestine-Principal G P Inc
Louisville, KY
general partnership interest 2005-08
Russell Pigg corporate officer 2025-03
Scott Graeser corporate officer 2022-08

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 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