Healthcare restructuring

Overview

If you are in the healthcare industry, then we do not need to tell you how dynamic, complex, and challenging it is. If your business is experiencing financial or operational problems, the complexity of your challenges has been multiplied. Our national Healthcare Restructuring Practice Group can assist you in solving those challenges. The group's attorneys understand the healthcare marketplace and the various factors which impact the financial and operational viability of healthcare companies. Our experience working with healthcare companies to address problems - including substantial experience assisting distressed healthcare companies through the Chapter 11 process - enables us to identify and implement reorganization action plans. We work effectively with a client's other advisors to provide practical, timely solutions.

Our clients include:

Hospitals
Healthcare systems, including nonprofits
Long-term care facilities
Physician practices and ventures
Healthcare technology companies

Our services include:

Refinancings and recapitalizations
Negotiation of new arrangements with investors, lenders, landlords, vendors, unions, payors and other third parties
Reorganizations, including consensual, out-of-court restructurings and Chapter 11 filings
Mergers, acquisitions, dispositions, joint ventures, and other transactions related to a reorganization

Experience

Representative matters specific to hospitals

Forum Health et al. - Primary healthcare provider based in Youngstown, Ohio, with over $100 million of secured debt. Resulted in a successful sale to Community Health Systems and continuing operation of the hospital facilities. (Bankr. N.D. Ohio)
Representation of a Texas-based hospital in the out-of-court restructuring of its debt, resulting in a $115 million reduction in secured debt.
Representation of a hospital in the sale of its home health care business.
Representation of a West Virginia-based hospital in a substantial out-of-court restructuring.
Representation of secured lender for Florida-based critical access hospital.
Hawaii Medical Center, LLC, et al. - Primary healthcare provider located in Honolulu, Hawaii, with over $50 million of secured debt. Resulted in successful confirmation of a plan of reorganization. Subsequently re-filed chapter 11 resulting in hospital facilities being acquired by St. Francis Healthcare System of Hawaii. (Bank. D Hawaii)
Cheboygan Memorial Hospital - Critical care access hospital located in Cheboygan Michigan. Resulted in successful sale to McLaren Health Care and continuing operation of the hospital facilities. (Bankr. E.D. Mich.)
Pontiac General Hospital and Medical Center, d/b/a North Oakland Medical Center, et al. -Representation of creditors' committee, including participation in negotiations surrounding sale of the hospital facilities, and, subsequently, the liquidating trustee, assisting in the recovery of remaining assets and distribution to general unsecured creditors. (Bankr. E.D. Mich.)
Bucyrus Community Hospital, et al. - Critical care access hospital located in Bucyrus, Ohio. Resulted in successful sale to Galion Community Hospital, Avita Healthcare System and continuing operation of the hospital facilities. (Bankr. N.D. Ohio)
Twin City Hospital - Critical care access hospital located in Dennison, Ohio. Resulted in successful sale to Franciscan Services Corporation and continuing operation of the hospital facilities. (Bankr. N.D. Ohio)

Representative matters specific to long-term care, senior living and nursing homes

Timothy Place, NFP – Representation of continuing care retirement community in successful pre-arranged chapter 11 restructuring involving $145 million in secured bond debt. (Bankr. N.D. Ill.)
South Franklin Circle - Continuing care retirement community located in Bainbridge Township, Ohio. Resulted in successful confirmation of a “pre-packaged” chapter 11 plan of reorganization substantially reducing secured debt. (Bankr. N.D. Ohio)
Franciscan Communities St. Mary’s of the Woods, Inc. - Representation of creditors’ committee, including negotiation with parties in interest to secure assumption of obligations to resident unsecured creditors, and maintain operation of facility. (Bankr. N.D. Ohio)
Representation of two Ohio-based distressed skilled nursing facilities in the successful sale and transition of operations.

Representative matters specific to medical facilities

Representations of separate multi-location laser surgery centers in successful debt restructuring and in a wind down that enabled the owners to avoid personal liability.
Representation of a plastic surgery center in the wind down of operations and transition of practice to another facility.
Representation of a medical laboratory in forbearance agreement with bank lender, obtaining replacement of its bank line of credit, exploration of strategic alternatives and representation of its company in its ultimate sale to investor group.