Surgery Partners to Sell Idaho Hospitals for $1.15B

By Tamara Parker • Friday, July 24 13:03 • Permanent Link

Surgery Partners said it has agreed to sell its ownership interests in the Idaho Falls facilities — Mountain View Hospital and Idaho Falls Community Hospital — to Intermountain Health in a deal that values the two facilities at about $1.15 billion.

Surgery Partners’ share of the transaction is about $795 million. The company said it expects to receive substantial cash proceeds at closing, though the final amount will depend on adjustments for debt, working capital, transaction expenses and other closing items.

The company said physician ownership of Mountain View Hospital will remain unchanged. Completion still depends on several approvals, including binding securities purchase agreements after physician member and physician governing board approvals, as well as regulatory clearances and other third-party consents.

The sale marks a meaningful shift in Surgery Partners’ portfolio. CEO Eric Evans said the deal is the “largest step forward” in the company’s portfolio optimization strategy and will simplify operations.

Surgery Partners also reaffirmed its 2026 outlook, excluding the transaction’s impact. It still expects 2026 revenue of $3.35 billion to $3.45 billion and adjusted EBITDA of at least $530 million.

The Idaho Falls assets are sizable. Together, the facilities employ more than 150 physicians and include 126 beds. Mountain View Hospital opened in 2002, and Idaho Falls Community Hospital opened in 2019. The combined operations span nine surgical specialties, along with oncology, emergency department and ICU services, and neonatology.

Surgery Partners said it plans to report second-quarter 2026 results on Aug. 10 before the market opens. The market has reacted to these announcements by moving the company's shares 8.25% to a price of $16.475. Check out the company's full 8-K submission here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.