Select Medical Enters Definitive Agreement for $3.9B Take-Private Acquisition at $16.50/Share

summarizeSummary

Select Medical Holdings Corporation has signed a definitive merger agreement to be taken private by a consortium for $16.50 per share in cash, a deal valued at $3.9 billion, with no financing condition.

check_boxKey Events

• Definitive Merger Agreement Signed

  Select Medical Holdings Corporation entered into a definitive Agreement and Plan of Merger to be acquired by a consortium led by its Executive Chairman and Welsh, Carson, Anderson & Stowe.

• Acquisition Price and Premium

  Unaffiliated stockholders will receive $16.50 per share in cash, a premium of approximately 18% over the unaffected share price as of November 24, 2025. The transaction has an enterprise value of $3.9 billion.

• Take-Private by Consortium

  The acquisition is a take-private transaction, with Executive Chairman Robert A. Ortenzio, Martin F. Jackson, and certain affiliates rolling over their equity instead of receiving cash. These Rollover Participants beneficially own approximately 11.8% of outstanding shares and will vote in favor of the merger.

• No Financing Condition

  The merger is not subject to a financing condition, as the consortium has secured committed equity and debt financing, providing high certainty of closing.

auto_awesomeAnalysis

Select Medical Holdings Corporation has entered into a definitive Agreement and Plan of Merger to be acquired by a consortium led by its Executive Chairman, Robert A. Ortenzio, and Welsh, Carson, Anderson & Stowe. This formalizes the previously announced non-binding take-private offer. Shareholders will receive $16.50 per share in cash, representing a premium of approximately 18% over the unaffected share price as of November 24, 2025. The transaction, valued at an enterprise value of $3.9 billion, is not subject to a financing condition, significantly de-risking the deal. The Special Committee of independent directors and the disinterested members of the Board unanimously approved the merger, deeming it fair to unaffiliated stockholders. Upon completion, Select Medical will become a privately held company, and its shares will be delisted from the NYSE.