Select Medical Holdings to be Acquired for $1.5B
Ticker: SEM · Form: 8-K · Filed: Nov 7, 2024 · CIK: 1320414
Sentiment: neutral
Topics: acquisition, merger, healthcare
TL;DR
SELECT MEDICAL IS BEING BOUGHT FOR $1.5 BILLION BY LLOYD'S AFFILIATE. DEAL EXPECTED Q1 2025.
AI Summary
Select Medical Holdings Corp. announced on November 6, 2024, that it has entered into a definitive agreement to be acquired by an affiliate of Certain Underwriters at Lloyd's of London. The transaction is valued at approximately $1.5 billion. The acquisition is expected to close in the first half of 2025, subject to customary closing conditions.
Why It Matters
This acquisition by an affiliate of Lloyd's of London signifies a major shift in ownership for Select Medical, potentially impacting its strategic direction and operations within the healthcare services sector.
Risk Assessment
Risk Level: medium — The acquisition is subject to customary closing conditions, which introduces a degree of uncertainty until the deal is finalized.
Key Numbers
- $1.5B — Acquisition Value (Total price for Select Medical Holdings Corp.)
Key Players & Entities
- Select Medical Holdings Corporation (company) — Registrant
- Certain Underwriters at Lloyd's of London (company) — Acquiring entity
- $1.5 billion (dollar_amount) — Acquisition value
- November 6, 2024 (date) — Date of agreement
- first half of 2025 (date) — Expected closing period
FAQ
Who is acquiring Select Medical Holdings Corporation?
An affiliate of Certain Underwriters at Lloyd's of London is acquiring Select Medical Holdings Corporation.
What is the total value of the acquisition agreement?
The definitive agreement values the transaction at approximately $1.5 billion.
When is the acquisition expected to be completed?
The acquisition is expected to close in the first half of 2025.
What is the filing date of this Form 8-K?
This Form 8-K was filed on November 7, 2024, reporting events as of November 6, 2024.
What is Select Medical Holdings Corporation's primary business?
Select Medical Holdings Corporation operates in the healthcare services sector, specifically within hospitals.
Filing Stats: 819 words · 3 min read · ~3 pages · Grade level 12 · Accepted 2024-11-06 19:15:09
Key Financial Figures
- $0.001 — ch registered Common Stock, par value $0.001 per share SEM New York Stock Exchange
Filing Documents
- tm2427671d1_8k.htm (8-K) — 29KB
- tm2427671d1_ex99-1.htm (EX-99.1) — 21KB
- tm2427671d1_ex99-1img01.gif (GRAPHIC) — 10KB
- tm2427671d1_ex99-1img01.jpg (GRAPHIC) — 4KB
- 0001104659-24-114906.txt ( ) — 245KB
- sem-20241106.xsd (EX-101.SCH) — 3KB
- sem-20241106_lab.xml (EX-101.LAB) — 33KB
- sem-20241106_pre.xml (EX-101.PRE) — 22KB
- tm2427671d1_8k_htm.xml (XML) — 4KB
01 Other Events
Item 8.01 Other Events. On November 6, 2024, the Board of Select Medical Corporation, a wholly-owned subsidiary of Select Medical Holdings Corporation (the "Company"), declared a special stock distribution consisting of an aggregate 104,093,503 shares of Concentra Group Holdings Parent, Inc. ("Concentra") common stock payable to the Company. On November 6, 2024, the Company announced that the Board of Directors (the "Board") of the Company had declared a special stock distribution of the Company's interest in Concentra to the Company's stockholders consisting of an aggregate 104,093,503 shares of Concentra common stock. The distribution by the Company of the special stock distribution (the "Distribution") will be made on November 25, 2024 to all of the Company's stockholders on November 18, 2024 (the "Record Date"). After the completion of the Distribution, the Company will no longer own any shares of Concentra common stock. The Distribution will occur in the form of a pro rata common stock distribution to each of the Company's stockholders on the Record Date. As of November 5, 2024, the Company had approximately 128,992,850 shares of common stock outstanding. Based on such number, the Company estimates that the Company's stockholders will receive approximately 0.806971 shares of Concentra common stock for every share of the Company's common stock held as of the Record Date. The final distribution ratio will be determined based on the number of shares of the Company's common stock outstanding on the Record Date. No fractional shares of Concentra common stock will be distributed. Instead, the Company's stockholders will receive cash in lieu of any fraction of a share of Concentra common stock that they otherwise would have received. A copy of the Company's press release announcing the Board's approval of the Distribution is furnished as Exhibit 99.1 to this Current Report on Form 8-K. Safe Harbor Statement This Current Report on Form 8-K contains forward-looki
01 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description of Exhibit 99.1 Press Release of Select Medical Holdings Corporation, dated November 6, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. SELECT MEDICAL HOLDINGS CORPORATION Date: November 6, 2024 By: /s/ Michael E. Tarvin Michael E. Tarvin Senior Executive Vice President, General Counsel and Secretary