CASE STUDY:
Trillium Specialty Hospital
- Sold business, which included two specialty hospitals and related assets
- Seller had tried to sell businesses before hiring Synergy and was unable to reach valuation goals
- Closed with strategic operator who accessed private equity capital to close transaction
Lead Bankers: Jim Emslie, Bob Maggiacomo
“When we began entertaining a sale of our company, we brought in three sell-side advisory candidates. We chose Synergy for the benefit of having experienced veteran judgment and guidance. The other candidates all utilized the typical model of the junior assigned banker with the senior person intermittently looking over their shoulder. Synergy did not use a junior person. All contact was with one or both of the principals. The Synergy difference became critical because our sale was much more complicated than a simple auction. This was in part due to a limited strategic buyer universe, and in part due to a complicated industry regulatory environment. It is difficult to quantify the dollar value of instinct, experience and judgment. Synergy brought these qualities to the process which in turn influenced an excellent outcome for us as a Seller.”
Owner, Trillium Specialty Hospital
Client Profile
Two 120-bed long term acute care (“LTAC”) /skilled nursing facilities (“SNF”). Acuity conditions of patients ranged from moderate acuity SNF patients to high observation/vent-dependent LTAC patients.
Situation Overview
Owners had developed properties and had leased facilities to national SNF company in the 1990’s. Tenant defaulted on lease payments and withdrew operations from the facilities. Owners were forced to operate on their own when no other long term care tenants were available. Owners relicensed beds as higher acuity LTAC beds and tried to sell to new operator.
The Outcome
Initial attempts to monetize were unsuccessful so the owners hired Synergy to run a sales process. Synergy discovered interest was limited due to adverse reimbursement regulations evolving, but Synergy was able to locate a long time industry veteran who was able to find private equity capital to consummate a successful transaction.