dealflow
envelope $200M

← Targets

Encompass Health Rehabilitation Hosp

dba Encompass Health Rehabilitation Hospital Of Petersburg · Petersburg, Petersburg City County, VA · CCN 493031
Licensed to Encompass Health Rehabilitation Hospital Of Petersburg, Llc

Composite
36.1
rank score
Distress
4
FY2024
Fit
81
vs thesis
Estimated ticket
$20.8M–$83.2M
64 beds · within envelope
Ownership
for-profit
RH

Why it ranks here

  • 90-150 days cash on hand
  • part of a multi-hospital chain — divestiture candidate
  • urban — higher occupancy and iteration surface
  • specialty facility — narrower problem scope
  • bed count in the target band
  • ticket size somewhat below the envelope
  • strong occupancy — good iteration surface
  • for-profit — no charitable conversion review

Latest financials · FY2024

Net patient revenue$25.1M
Operating margin 14.7%
Total margin 14.9%
Days cash on hand 120
Current ratio 4.61
Occupancy61%

Facility

Beds64
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
2021 64 $18.9M $1.0M 5.5% 5.5% 77 4.09 52% 950 12
2022 64 $19.7M $769K 3.8% 3.9% 78 2.98 54% 1,055 17
2023 64 $24.9M $4.7M 18.5% 18.7% 96 3.96 61% 1,190 4
2024 64 $25.1M $3.7M 14.7% 14.9% 120 4.61 61% 1,190 4

Owners

OwnerRole%SinceType
Encompass Health Corporation
Birmingham, AL
5% or greater indirect ownership interest 100 1996-12 chain
Encompass Health Owned Hospitals Holdings Llc
Birmingham, AL
5% or greater direct ownership interest 100 2015-07
Truist Bank
Charlotte, NC
5% or greater security interest 100 2026-03
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
Carey Mcrae operational/managerial control 2025-01
Carey Mcrae other 2025-01
Encompass Health Corporation
Birmingham, AL
operational/managerial control 1996-12 chain
Harry Wiggins w-2 managing employee 2025-03
Mark Tarr operational/managerial control 2017-01
Robert Mccallum operational/managerial control 2025-01
Robert Mccallum other 2025-01

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 VA

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

DateBuyerSellerHospitalBeds
2017-06-01 Coastal Virginia Rehabilitation Llc Rehabilitation Institute Of Virginia Inc Riverside Rehabilitation Institute 50