Story
Surgery Partners Stock Jumps on $795 Million Sale of Idaho Hospital Assets
Summary
Shares of Surgery Partners Inc. rose after the company announced the divestiture of its interests in two Idaho hospitals to Intermountain Health for approximately $795 million, a move aimed at refocusing on its core ambulatory surgery business.
Shares of Surgery Partners (NASDAQ: SGRY) climbed 3.6% in afternoon trading on Friday after the company announced a definitive agreement to sell its ownership stakes in two Idaho hospitals to Intermountain Health.
The Divestiture
In a press release issued via Globe Newswire, Surgery Partners confirmed it will sell its interests in Mountain View Hospital and Idaho Falls Community Hospital. The transaction values the combined facilities at approximately $1.15 billion.
Surgery Partners is set to receive total consideration of roughly $795 million from the sale. The company noted that physician ownership in Mountain View Hospital will remain unchanged, preserving existing clinical partnerships in the region.
Strategic Rationale and Financial Outlook
The company framed the sale as a strategic step to optimize its portfolio and reallocate capital towards its core ambulatory surgery center (ASC) business. CEO Eric Evans stated the move allows the company to sharpen its focus on what it views as a market with stronger long-term growth prospects.
AdAlongside the announcement, Surgery Partners reaffirmed its full-year 2026 financial guidance, excluding the impact of the transaction. The company continues to project:
- Full-year revenues between $3.35 billion and $3.45 billion
- Adjusted EBITDA of at least $530 million
Market Reaction
The stock's advance was a company-specific event, standing in contrast to the broader market, where the S&P 500 was nearly flat and the NASDAQ Composite declined. Shares touched a session high of $16.60 before settling near $15.77 in the afternoon.
Investors will look for more details on the company's capital deployment strategy when Surgery Partners reports its second-quarter financial results, scheduled for before the market opens on August 10, 2026.
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