Specialty Hospitals of Washington, a Washington, D.C.-based operator of long-term acute-care hospitals and nursing homes, announced Monday that it had emerged from Chapter 11 bankruptcy with a new owner and a new CEO.
Marc C. Ferrell has taken office as CEO of DCA Acquisitions, the new owner of Specialty Hospitals and an affiliate of Greenwich, Conn.-based Silver Point Capital. Specialty Hospitals began bankruptcy proceedings in May, when it filed for Chapter 11 and agreed to sell its assets to Silver Point, which provided a $15 million loan to allow the company to continue operations.
DCA will pay the CMS, the Internal Revenue Service and the Justice Department $5.2 million in claims over the next three years. In return, it will receive Specialty Hospitals' Medicare provider agreements, according to court documents.
Specialty Hospitals' two facilities operated normally during the bankruptcy process. The company runs the only long-term acute-care hospitals in D.C., located in the Capitol Hill and Hadley neighborhoods. Together, the two hospitals have a combined 142 LTAC beds and 179 skilled-nursing facility beds.
Ferrell comes to the company after co-founding Vista Healthcare, an LTAC start-up in Los Angeles. He was chief operating officer of Vista, a five-hospital system built mainly by acquiring closed acute-care hospitals and re-opening them as LTAC facilities. Before Vista, Ferrell was VP of hospital operations at Specialty Healthcare Services, another LTAC start-up.
Follow Adam Rubenfire on Twitter: @arubenfire