The Ensign Group Acquires Three Skilled Nursing Facilities in Southern California

Rhea-AI Summary

The Ensign Group, Inc. (Nasdaq: ENSG) announced the acquisition of three skilled nursing facilities in Southern California, effective January 1, 2021. The facilities are Golden Hill Post Acute in San Diego, St. Catherine Healthcare in Fullerton, and Camino Healthcare in Hawthorne, each with 99 skilled nursing beds. These acquisitions will be subject to a long-term, triple net lease and expand Ensign's portfolio to 231 healthcare operations across 13 states. The company aims to integrate these operations into its existing clusters and enhance service quality amidst the ongoing pandemic.

Positive

• Acquisition of three skilled nursing facilities enhances Ensign's portfolio to 231 healthcare operations.
• Facilities present significant organic growth potential.
• Strategic expansion in well-established California clusters.

Negative

• None.

SAN JUAN CAPISTRANO, Calif., Jan. 04, 2021 (GLOBE NEWSWIRE) -- The Ensign Group, Inc. (Nasdaq: ENSG), the parent company of the Ensign^TM group of companies, which provide skilled nursing and assisted living services, physical, occupational and speech therapies and other rehabilitative and healthcare services, announced today that it acquired the operations of three skilled nursing facilities in Southern California. The acquisitions were effective January 1, 2021 and will be subject to a long-term, triple net lease. The acquisitions include:

• Golden Hill Post Acute, a skilled nursing facility with 99 skilled nursing beds located in San Diego, CA;
• St. Catherine Healthcare, a skilled nursing facility with 99 skilled nursing beds located in Fullerton, CA; and
• Camino Healthcare, a skilled nursing facility with 99 skilled nursing beds located in Hawthorne, CA.
  

“We are excited to add these three operations to some of our most mature clusters in California,” said Barry Port, Ensign's Chief Executive Officer. “While these acquisitions are taking place in the midst of a pandemic, our clinical and operational leadership have been preparing for these acquisitions for several months and we are confident that all the planning and preparation of some of our most experienced leaders will result in a smooth transition,” he added.

“We are grateful for the cooperation with the outgoing operator and look forward to working together with the amazing group of clinical professionals that have been working tirelessly in these operations for so long, especially over these last few months," added Adam Willits, President of Flagstone Healthcare South LLC, Ensign’s California-based subsidiary. “Each of these operations have tremendous organic growth potential and we are anxious to integrate these operations into their respective clusters and to work with our local healthcare partners to provide excellent service to each patient and their families,” he added.

This acquisition brings Ensign's growing portfolio to 231 healthcare operations, 24 of which also include assisted living operations, across thirteen states.  Ensign owns 95 real estate assets.  Mr. Port reaffirmed that Ensign is actively seeking opportunities to acquire real estate and to lease both well-performing and struggling skilled nursing, assisted living and other healthcare related businesses throughout the United States.

About Ensign^TM

The Ensign Group, Inc.'s independent operating subsidiaries provide a broad spectrum of skilled nursing and assisted living services, physical, occupational and speech therapies and other rehabilitative and healthcare services at 231 healthcare facilities, in Arizona, California, Colorado, Idaho, Iowa, Kansas, Nebraska, Nevada, South Carolina, Texas, Utah, Washington and Wisconsin. More information about Ensign is available at http://www.ensigngroup.net.

Contact Information

The Ensign Group, Inc., (949) 487-9500, ir@ensigngroup.net

SOURCE: The Ensign Group, Inc.

FAQ

What facilities did Ensign Group acquire in Southern California?

Ensign Group acquired Golden Hill Post Acute, St. Catherine Healthcare, and Camino Healthcare, each with 99 skilled nursing beds.

When did the Ensign Group's acquisitions take effect?

The acquisitions took effect on January 1, 2021.

How many healthcare operations does Ensign Group now have?

Ensign Group now operates 231 healthcare facilities across 13 states.

What is the strategic importance of these acquisitions for Ensign Group?

The acquisitions enhance Ensign's operations in California and provide significant organic growth potential.

What type of lease will the acquired facilities be under?

The acquired facilities will be subject to a long-term, triple net lease.