dealflow
envelope $200M

← Targets

Evergreen Healthcare

dba Evergreenhealth Medical Center · Kirkland, King County, WA · CCN 500124
Licensed to King County Public Hospital District No 2

Composite
58.4
rank score
Distress
68
FY2023
Fit
70
vs thesis
Estimated ticket
$144M–$576M
339 beds · within envelope
Ownership
government
STH

Why it ranks here

  • operating margin below -10%
  • total margin -8% to -3%
  • 30-60 days cash on hand
  • current ratio under 1.5
  • debt above 70% of assets
  • margin deteriorating sharply
  • urban — higher occupancy and iteration surface
  • large — ticket likely stretches the envelope
  • ticket size well above the envelope
  • strong occupancy — good iteration surface
  • government-owned — public process likely

Latest financials · FY2023

Net patient revenue$859M
Operating margin -20.6%
Total margin -5.2%
Days cash on hand 33
Current ratio 1.31
Occupancy71%

Facility

Beds339
Facility typeSTH
Settingurban
Ownership classgovernment
Per-bed (low) $425K
Per-bed (high) $1.7M

Financial history

FYBedsNet patient rev Net incomeOp margin Total marginDays cash Current ratioOccupancy DischargesDistress
2020 304 $664M $23.0M -13.5% 3.2% 42 1.38 60% 17,846 48
2021 304 $769M $10.7M -8.7% 1.3% 55 1.89 68% 19,085 42
2022 304 $789M $-91.6M -18.9% -11.0% 24 1.38 74% 19,303 70
2023 339 $859M $-50.6M -20.6% -5.2% 33 1.31 71% 16,044 68

Owners

OwnerRole%SinceType
King County Public Hospital District No 2
Kirkland, WA
5% or greater direct ownership interest 100 1972-03
Ettore Palazzo corporate officer 2023-12
Ettore Palazzo operational/managerial control 2023-12
William Howe corporate officer 2024-07
William Howe operational/managerial control 2024-07

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 WA

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

DateBuyerSellerHospitalBeds
2023-07-01 Central Washington Health Services... Wenatchee Valley Hospital Confluence Health 187
2021-12-05 Multicare Health System Columbia Capital Medical Center Lp Capital Medical Center 107
2020-01-01 University Of Washington Uw Medicine Northwest University Of Washington Med Ctr 617
2018-08-04 Rcch Trios Health Llc Kennewick Public Hospital District Trios Health 111
2016-06-01 Public Hospital Dist No 1 Skagit Public Hospital District 3 Snohomish County Cascade Valley Hospital 48