8-K ยทFiled Jul 1, 2026

SEM

SELECT MEDICAL HOLDINGS CORP
BULLISH
Impact 8/10
Horizonimmediate Processed3mo ago SEC0001104659-26-079643
Killer combo: M&A completed + management change
Actionable Insight โ–ฒ Bullish

The take-private is complete. SEM shares will cease trading on the NYSE and will be deregistered. Traders holding SEM should have already tendered shares for the $16.50 cash consideration. No further trading action is possible in the public market. Monitor for any appraisal rights litigation or post-closing adjustments, but the primary event is concluded.

DirectionBullish
Confidencehigh
Horizonimmediate

Price Chart

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Executive Summary

Select Medical Holdings Corporation (SEM) was acquired by a consortium led by Robert A. Ortenzio, Martin F. Jackson, and Welsh, Carson, Anderson & Stowe (WCAS) in a take-private transaction that closed on June 30, 2026. Shareholders received $16.50 per share in cash, representing an ~18% premium to the unaffected price. The company simultaneously entered into a $1 billion incremental term loan facility to help finance the acquisition. As a result, SEM common stock is being delisted from the NYSE and will be deregistered, with the company becoming a wholly-owned indirect subsidiary of the acquirer.

Key Financial Metrics

Deal Value
$3.9B
Premium
18%
Deal Type
merger

Key Facts

  • Merger closed on June 30, 2026, effective July 1, 2026 at 12:01 a.m.
  • Shareholders received $16.50 per share in cash, valuing the company at approximately $3.9 billion.
  • The purchase price represents an ~18% premium over the unaffected share price of $13.98 (Nov 24, 2025) and ~25% over the 90-day VWAP.
  • Aggregate purchase price paid for all outstanding shares was approximately $1.7 billion.
  • A new $1,000,000,000 Tranche B-3 Term Loan facility was established under the existing credit agreement to fund the acquisition.
  • WCAS XIV, L.P. and other investors contributed at least 25% of the total consideration as equity.
  • SEM common stock is being delisted from the NYSE and the company will file a Form 15 to suspend SEC reporting obligations.
  • Seven directors (William H. Frist, Daniel J. Thomas, Katherine R. Davisson, Parvinderjit S. Khanuja, James S. Ely III, Thomas A. Scully, Marilyn B. Tavenner) resigned; Russell L. Carson, David S. Chernow, and Robert A. Ortenzio now serve as directors.
  • Current officers, including Robert A. Ortenzio and Martin F. Jackson, will continue to lead the business.
  • The company's certificate of incorporation and bylaws were amended and restated.

Financial Impact

Shareholders received $16.50 per share in cash, a total equity value of approximately $1.7 billion for the public float. The enterprise value is approximately $3.9 billion. A new $1 billion term loan was added to the company's debt structure.

share priceenterprise valuedebtownership structure

Risk Factors

  • Potential appraisal rights litigation from shareholders who dissented and demand fair value above $16.50.
  • Integration risk for the newly leveraged company under private equity ownership.
  • No further public market liquidity for SEM shares.

Market Snapshot

Exchange
NYSE
Sector
Services-Hospitals
Analyst Consensus
0% bullish (12 analysts)

Investment Themes

Healthcare & Medical Devices

Documents Analyzed

This report is based on 8 SEC documents filed with EDGAR.

DocumentAccession Number
8-K Filing (Primary)0001104659-26-079643
Document: tm2619266d7_ex3-2.htm0001104659-26-079643
Document: tm2619266d7_8k.htm0001104659-26-079643
Document: tm2619266d7_ex3-1.htm0001104659-26-079643
Document: tm2619266d7_ex99-1.htm0001104659-26-079643
Document: 0001104659-26-079643-index-headers.html0001104659-26-079643
Document: 0001104659-26-079643-index.html0001104659-26-079643
Document: 0001104659-26-079643.txt0001104659-26-079643
8 reports for SEM
Performance horizon
75% Hit rate 3 of 4 directional calls best @ T+60โ–ฒ +1.54%Mar 3, 2026
Filters
Rows
Reports for SEM โ€” sortable, filterable
TypeNow
Jul 13, 2026
11w ago
15-12G
NEUTRAL โ˜… 4/10
โ€”awaiting T+1โ€”โ€”
Jul 1, 2026
13w ago
25-NSE
NEUTRAL โ˜… 9/10
$16.52 awaiting T+1awaiting T+1โ€”โ€”
Jul 1, 2026
13w ago
8-K
BULLISH โ˜… 8/10
$16.52 awaiting T+1awaiting T+1โ€”โ€”
Jun 26, 2026
13w ago
8-K
BULLISH โ˜… 7/10
$16.53 $16.51โ–ผ โˆ’0.12%โ–ผ โˆ’0.90%โ€”
Apr 30, 2026
22w ago
8-K
BEARISH โ˜… 6/10
$16.38 $16.38ยท 0.00%โ–ผ โˆ’0.34%โ€”
Apr 15, 2026
24w ago
PREM14A
BULLISH โ˜… 8/10
$16.38 $16.39โ–ฒ +0.06%โ–ผ โˆ’0.19%โ€”
Mar 4, 2026
30w ago
DEFA14A
NEUTRAL โ˜… 3/10
$16.25 $16.25ยท 0.00%โ–ฒ +0.57%โ€”
Mar 3, 2026
30w ago
DEFA14A
BULLISH โ˜… 9/10
$16.26 $16.25โ–ผ โˆ’0.06%โ–ผ โˆ’0.82%โ€”
Showing 8 of 8

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