dealflow
envelope $200M

← Targets

Otto Kaiser Memorial Hospital

Kenedy, Karnes County, TX · CCN 451364
Licensed to Karnes County Hospital District

Composite
36.1
rank score
Distress
33
FY2024
Fit
53
vs thesis
Estimated ticket
$2.1M–$4.2M
25 beds · within envelope
Ownership
government
CAH

Why it ranks here

  • operating margin below -10%
  • occupancy below 30%
  • TX: favorable regulatory climate
  • 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
  • government-owned — public process likely

Latest financials · FY2024

Net patient revenue$23.9M
Operating margin -37.1%
Total margin 2.4%
Days cash on hand 759
Current ratio 12.72
Occupancy14%

Facility

Beds25
Facility typeCAH
Settingrural
Ownership classgovernment
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 $20.5M $344K -37.4% 1.2% 718 14.14 19% 165 40
2022 25 $25.8M $5.7M -10.7% 16.5% 795 14.61 21% 196 37
2023 25 $23.4M $-2.9M -45.7% -9.4% 663 14.68 14% 65 53
2024 25 $23.9M $800K -37.1% 2.4% 759 12.72 14% 59 33

Owners

OwnerRole%SinceType
David Lee corporate director 100 2012-10
Karnes County Hospital District
Kenedy, TX
operational/managerial control 100 2012-10
David Lee w-2 managing employee 2015-03

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
2024-03-01 Muleshoe Area Hospital District Preferred Hospital Leasing Muleshoe Inc Muleshoe Area Medical Center 25
2023-07-01 Pecos County Memorial Hospital District Pecos County Memorial Hospital Pecos County Memorial Hospital 25
2021-10-01 Preferred Hospital Leasing Shamrock Inc South Wheeler County Hospital District Shamrock General Hospital 25
2019-07-01 Bosque County Hospital District Goodall-Witcher Hospital Authority Goodall-Witcher Hospital Authority 25
2017-10-01 Winkler County Hospital District County Of Winkler Memorial Hospital 16