Board Dossier

Rob Jay

CEO, ScionHealth · FAH Director · Apollo Global Management

High
Caa2 Moody’s credit rating (January 2025)
3 Hospitals closed February 2025
$189M Ventas sale-leaseback value (2024)
$80M Annual rent obligation to Ventas
01 ORGANIZATION

Organization and Apollo Structure

ScionHealth was created by Apollo Global Management in December 2021 to house the debt-heavy assets from the Lifepoint/Kindred acquisition.

Metric Value
LTAC Hospitals61 (Kindred brand)
Community Hospitals18
States27
OwnerApollo Global Management
CreatedDecember 2021
Moody’s RatingCaa2 / Limited Default (Jan 2025)
FAH Board SinceAt least 2022

Apollo Dual Control

Apollo Global Management controls two of nine FAH board seats through Lifepoint (Dill, FAH Chair) and ScionHealth (Jay). Jay previously served as EVP of Integrated Operations at Lifepoint under Dill before being named ScionHealth CEO at the spinoff.

02 FINANCIAL DISTRESS

Financial Distress

On January 13, 2025, Moody’s appended a limited default designation to ScionHealth’s parent entity Knight Health Holdings LLC, citing an unsustainable capital structure.

“ScionHealth is owned by private equity sponsor Apollo, making it more at risk to partake in shareholder-friendly policies that can include debt-funded dividends.”

— Moody’s Investors Service, January 13, 2025

Moody’s Findings

Detail Value
RatingCaa2
DesignationLimited default (LD) — January 2025
BasisDistressed debt exchange to avoid immediate bankruptcy
Key language“weak liquidity,” “unsustainable capital structure”
Debt maturitiesSenior secured and unsecured looming 2026–2027
03 SALE-LEASEBACK

Ventas Sale-Leaseback

In October 2024, ScionHealth sold 5 LTAC hospitals to Ventas for $189 million, converting owned real estate into a permanent escalating rent obligation.

Metric Value
Facilities sold5 LTAC hospitals
Sale price$189 million
Annual rent obligation$80M (starting May 2025)
Rent escalator2.75% annually
ImpactPermanent operational expense during period of declining LTAC occupancy
04 HOSPITAL CLOSURES

Hospital Closures

In February 2025, ScionHealth permanently closed three hospitals, laying off over 155 workers.

Facility Location Layoffs
Kindred Hospital SycamoreChicago, IL~75
Kindred Hospital LakeshoreChicago, IL~80
Kindred Hospital Bay AreaTampa, FLNot confirmed
05 RE-ACQUISITION

Lifepoint Re-Acquisition

On March 6, 2026, ScionHealth agreed to sell eight acute care hospitals back to Lifepoint, effectively returning its most stable assets to the parent Apollo entity.

Hospitals Being Sold Back

Hospital State
Bolivar Medical CenterMS
Ennis Regional Medical CenterTX
Livingston Regional HospitalTN
Logan Regional Medical CenterWV
Palestine Regional Medical CenterTX
Parkview Regional HospitalTX
St. Joseph Regional Medical CenterID
Watertown Regional Medical CenterWI
06 BACKGROUND

Background

Organization Role Period
KPMGAudit/consultingEarly career
Vanguard Health SystemsLeadership rolesPrior to Tenet acquisition
RCCH Healthcare PartnersEVP and COOThrough 2018 merger with Lifepoint
Lifepoint HealthEVP, Integrated Operations2018–2021
ScionHealthCEO and Director2021–present

Sources