dealflow
envelope $200M

← Targets

Encompass Health Rehabilitation Hosp

dba Encompass Health Rehabilitation Hospital Of The Woodlands · Shenandoah, Montgomery County, TX · CCN 453059
Licensed to Encompass Health Rehabilitation Hospital Of The Woodlands Inc.

Composite
53.7
rank score
Distress
37
FY2024
Fit
88
vs thesis
Estimated ticket
$27.3M–$109M
84 beds · within envelope
Ownership
for-profit
RH

Why it ranks here

  • under 30 days cash on hand
  • current ratio below 0.8
  • occupancy 30-45%
  • part of a multi-hospital chain — divestiture candidate
  • TX: favorable regulatory climate
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • bed count in the target band
  • ticket size somewhat below the envelope
  • thin occupancy
  • for-profit — no charitable conversion review

Latest financials · FY2024

Net patient revenue$22.0M
Operating margin 5.0%
Total margin 5.1%
Days cash on hand 0
Current ratio -0.35
Occupancy38%

Facility

Beds84
Facility typeRH
Settingurban
Ownership classfor-profit
Per-bed (low) $325K
Per-bed (high) $1.3M

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 84 $15.7M $573K 1.4% 3.6% 0 0.35 29% 718 51
2021 84 $17.3M $-426K -4.5% -2.4% 0 -0.06 33% 773 64
2022 84 $10.4M $-689K -8.6% -6.5% 0 -0.34 34% 477 76
2023 84 $19.0M $-406K -2.4% -2.1% 0 -0.70 34% 830 64
2024 84 $22.0M $1.1M 5.0% 5.1% 0 -0.35 38% 920 37

Owners

OwnerRole%SinceType
Barclays Bank Plc
New York, NY
5% or greater security interest 100 2011-05
Encompass Health Corporation
Birmingham, AL
5% or greater indirect ownership interest 100 1993-12 chain
Encompass Health Owned Hospitals Holdings Llc
Birmingham, AL
5% or greater direct ownership interest 100 1993-12
Vanguard Group Inc
Malvern, PA
5% or greater indirect ownership interest 10 2023-12
Blackrock Inc
New York, NY
5% or greater indirect ownership interest 9 2023-12
Invesco Ltd
Atlanta, GA
5% or greater indirect ownership interest 5 2024-12
Andrew Price corporate officer 2010-03
Angela Simmons w-2 managing employee 2020-01
Carey Mcrae corporate officer 2025-01
Craig Funk corporate officer 2025-01
Douglas Coltharp corporate officer 2010-05
Edmund Ball corporate officer 2021-01
Edmund Fay corporate officer 2008-05
Encompass Health Corporation
Birmingham, AL
operational/managerial control 1993-12 chain
John Darby corporate officer 2016-02
John Wilson corporate officer 2017-01
Mark Tarr operational/managerial control 2017-01
Melanie Lewis corporate officer 2021-08
Robert Mccallum corporate officer 2025-01
Robert Wisner corporate officer 2003-11
Stephen Leasure corporate officer 2020-01
Thomas Boyle corporate officer 2020-10

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
2023-03-01 Crh Of Temple Llc Everest Rehabilitation Hospital Temple Llc Temple Rehabilitation Hospital 36
2023-03-01 Crh Of Longview Llc Everest Rehabilitation Hospital... Longview Rehabilitation Hospital 36
2021-12-30 Pam Health Rehabilitation Hospital... Apollo Rehab Hospital Llc Pam Health Rehab Hosp Of Sugar Land 41
2019-08-01 Clear Lake Institute For Rehabilitation Llc Clear Lake Rehabilitation Hospital, Llc Bay Area Rehab Hospital 151
2019-08-01 Clear Lake Institute For Rehabilitation Llc Triumph Rehabilitation Hospital Of... Bay Area Rehab Hospital 151
2016-06-01 Pam Squared At Beaumont Llc Healthsouth Rehabilitation... Pam Squared At Beaumont 61