Hospital Acquistion LLC Files For Bankruptcy

On May 6, 2019, Hospital Acquisition LLC, along with 25 affiliates and subsidiaries, filed for a petition for relief under chapter 11 in the Bankruptcy Code for the District of Delaware. Among the affiliates is LifeCare Holdings.

According to LifeCare, the bankruptcy case is highly influenced by the rapid declination of the number of Medicare patients who qualify for services in its hospitals, resulting in an oversupply of beds. To address this problem, LifeCare added complimentary businesses to address specific diseases, closed hospitals, and diversified its revenue by acquiring home health agencies. The home health agencies acquired by LifeCare have . . .