Bulletin: Surgery Partners Inc.'s Divestiture Of Idaho Falls Hospitals Is Leverage Neutral

This report does not constitute a rating action. TORONTO (S&P Global Ratings) Aug. 10, 2026--S&P Global Ratings today said that the planned divestiture of Surgery Partners Inc. ?s Idaho Falls, Idaho, hospital facilities is credit neutral. We expect the transaction to reduce the company?s facility-level consolidated debt of about $350 million. Surgery Partners would receive about a $795 million share in the proceeds through its partial ownership. It may also elect to pay down a portion of its senior secured debt, which includes a term loan and revolver facility. While the sale reduces Surgery Partners? consolidated revenue and EBITDA base, we expect the significant cash proceeds and subsequent debt repayment to offset the impact on leverage and enhance overall financial

...August 10, 2026 This report does not constitute a rating action. TORONTO (S&P Global Ratings) Aug. 10, 2026--S&P Global Ratings today said that the planned divestiture of Surgery Partners Inc.'s Idaho Falls, Idaho, hospital facilities is credit neutral. We expect the transaction to reduce the company's facility-level consolidated debt of about $350 million. Surgery Partners would receive about a $795 million share in the proceeds through its partial ownership. It may also elect to pay down a portion of its senior secured debt, which includes a term loan and revolver facility. While the sale reduces Surgery Partners' consolidated revenue and EBITDA base, we expect the significant cash proceeds and subsequent debt repayment to offset the impact on leverage and enhance overall financial flexibility to repay further debt or acquire less capital-intensive ambulatory surgical centers, which are more aligned with its portfolio. Surgery Partners will maintain its strategic focus on these facilities,...

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