Surgery Partners Closes $797M Idaho Falls Sale, Updates 2026 Guidance
SGRY sits 17% above its 52-week low of $11.41.
Summary
Surgery Partners closed its $797M sale of Idaho Falls facilities to Intermountain Health, receiving $587M in net cash proceeds. The company updated 2026 guidance to reflect the divestiture and expects improved leverage and free cash flow.
Key Events · M&A and Partnerships · SGRY
-
Idaho Falls Sale Completed
On September 14, 2026, Surgery Partners closed the sale of Mountain View Hospital and Idaho Falls Community Hospital to Intermountain Health, receiving $797M in gross proceeds and $587M in net cash.
-
Proceeds to Reduce Debt
The company intends to use the proceeds primarily to pay down debt, with balance sheet leverage expected to improve by 30bps from 4.4x at Q2 2026.
-
Updated 2026 Guidance
Full-year 2026 revenue guidance is now $3.08B-$3.18B with Adjusted EBITDA of at least $489M. Pro forma excluding Idaho Falls, revenue is $2.60B-$2.67B with Adjusted EBITDA of at least $414M.
-
Portfolio Transformation
The divestiture eliminates neonatology, obstetrics, inpatient pediatrics, and retail pharmacy service lines, reducing Medicaid payor mix by 50% to under 2% of revenue.
Analysis · SGRY · Industrial Applications And Services
The completion of the Idaho Falls hospital sale to Intermountain Health marks a pivotal shift for Surgery Partners, delivering $797M in gross proceeds and $587M in net cash. With the divestiture, the company becomes a pure-play short-stay surgical provider, and management plans to channel the proceeds toward debt reduction. Reflecting the new structure, full-year 2026 guidance now projects revenue of $3.08B-$3.18B and Adjusted EBITDA of at least $489M. The transaction is also expected to improve balance sheet leverage by 30bps from 4.4x at Q2 2026, further strengthening the financial position.
How filings like this one have moved
In the 30 days to Sep 30, 2026, 34.7% of the 1013 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.50%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, SGRY was trading at $13.35 on NASDAQ in the Industrial Applications And Services sector, with a market capitalization of approximately $1.8B. The 52-week trading range was $11.41 to $23.44. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.