Genesis HealthCare Files for Bankruptcy, Secures Financing

Genesis HealthCare, one of the largest skilled nursing operators in the U.S., filed for Chapter 11 bankruptcy to restructure between $1 billion and $10 billion in legacy debt. The company operates nearly 200 facilities across 17 to 19 states, employs 27,000 people, and cares for 15,000 residents. Genesis secured $30 million in debtor-in-possession financing from existing lenders, with $8 million committed by Omega Healthcare Investors, to maintain operations and obligations during the process. The bankruptcy is attributed to debts from previously divested operations and the financial impact of the COVID-19 pandemic. Genesis has assured that there will be no immediate interruptions in resident care or staff pay and benefits. The restructuring aims to ensure Genesis emerges financially stronger while continuing to serve its residents.