Select Medical Holdings announced the completion of its acquisition by an entity affiliated with a consortium led by Robert A. Ortenzio, Martin F. Jackson, and Welsh, Carson, Anderson & Stowe. Ortenzio is Executive Chairman, Co-Founder, and Director of Select Medical. Jackson is Senior Executive Vice President of Strategic Finance and Operations at Select Medical.
The acquisition was completed under the terms of the previously announced merger agreement dated March 2, 2026. The transaction values Select Medical at approximately $3.9 billion.
The previously announced purchase price of $16.50 per share represented a premium of approximately 18% over Select Medical’s unaffected share price as of November 24, 2025.
That date was the last trading day before a publicly disclosed proposal was submitted by Ortenzio to the company’s Board of Directors.
The purchase price also represented a premium of approximately 25% over Select Medical’s 90-day volume-weighted average closing share price for the period ending on that date.
Select Medical filed a certificate of merger, and the acquisition became effective on July 1, 2026.
With the completion of the acquisition, Select Medical’s common stock will cease trading.
The company will no longer be listed on the New York Stock Exchange as of July 1, 2026.
The consortium maintains effective and operational control of Select Medical and its subsidiaries.
The consortium also now holds a majority of the economic interest in the company.
Select Medical’s current officers, including Ortenzio and Jackson, will continue to lead the business in their respective roles following the closing.
Select Medical stockholders, including unaffiliated stockholders, approved the transaction at a special meeting held on June 26, 2026.
Select Medical is one of the largest operators of critical illness recovery hospitals, rehabilitation hospitals, and outpatient rehabilitation clinics in the U.S., based on the number of facilities.
As of March 31, 2026, Select Medical operated 103 critical illness recovery hospitals in 28 states.
The company also operated 41 rehabilitation hospitals in 15 states and 1,912 outpatient rehabilitation clinics in 37 states and the District of Columbia.
WCAS is a U.S. private equity firm focused on technology and healthcare.
Since its founding in 1979, WCAS has raised and managed funds totaling more than $33 billion of committed capital.
Support: J.P. Morgan and Wells Fargo are serving as joint lead arrangers and joint lead bookrunners for the consortium’s committed debt financing. Goldman Sachs served as exclusive financial advisor to the special committee of disinterested and independent directors of Select Medical’s Board of Directors. Skadden, Arps, Slate, Meagher & Flom served as legal counsel to the special committee. Dechert served as legal counsel to Select Medical. Wells Fargo and J.P. Morgan served as financial advisors to the consortium. Cravath, Swaine & Moore served as legal counsel to the consortium. Barclays served as financial advisor to WCAS, and Ropes & Gray served as legal counsel to WCAS. Paul Hastings served as legal counsel to the debt financing sources.
