Medical Properties Trust (MPW) is facing significant challenges as Optum, a subsidiary of UnitedHealth Group (UNH), withdraws from its partnership with Steward Health Care. This development has led to uncertainty about the future operations of Steward's hospitals, with concerns about potential closures and the need for new operators. Additionally, MPW has spent approximately $21.8 million on litigation and other expenses related to short sellers from Q1 2023 to Q1 2024. The situation is further complicated by a DOJ subpoena involving a major tenant of MPW, and rumors suggest that Steward may close all eight hospitals in Massachusetts by the end of July. The final $75 million DIP draw for Steward is contingent on executing a binding purchase and sale agreement for 'Stewardship,' raising questions about future funding and potential bidders. The $900 million MAM JV loan and the situation with Priory Healthcare also add to MPW's financial strain, alongside allegations of funds being transferred to Swiss bank accounts.
$MPW on the tape… @JonathanWeil @SenWarren I have no idea how they and RDLT escape a foreign corrupt practices act charge. Fines are massive https://t.co/NFsLUWlb8J
Have a feeling the millions of dollars Steward wired from looted US hospitals to Swiss bank accounts controlled by indicted foreign money launderers may not be sitting well with @DOJCrimDiv $MPW https://t.co/1mLNvAsoox https://t.co/259goNgt38
DOJ investigations all around! @Steward $MPW Credit: @buhlreports @9finHQ https://t.co/GJ54Ei9tRC https://t.co/OX05cl83ud
If Steward has to file Chapter 7 now would the states like Mass. try to step in and take over hospitals using eminent domain. Discuss $MPW
Time for these looted $MPW hospitals to be seized https://t.co/0vjd6emrsv
Oops! $MPW PMH https://t.co/1WUM5f9bRd
Major Tenant of Medical Properties Trust Discloses a DOJ Subpoena | My latest @wsj $MPW https://t.co/v8A0BmnZa0
Sitting here right now on 6.28.24 @ 4:30pm ET, we think that this healthcare mortgage loan participation held by $ARI may just be the most interesting fundamental part of the $MPW story. This is a piece of the ~$900mm MAM JV loan. Curious that it has not been impaired or… https://t.co/8hs062aXPe
Doesn’t read like their is much recovery for $MPW here https://t.co/YWxilQ61ys
Rumor: @steward has notified state officials they will be closing all 8 MA hospitals by end of July. Discussions are ongoing on bailout to keep open but no more DIP funding expected after Optum fallout. $MPW @massgov @MassDPH @1199mass Send More Tips: [email protected]
For those of you awaiting a new liquidity injection into $MPW via financing their remaining UK asset “Priory Healthcare” Imagine how expensive this capital is going to be https://t.co/NHO7aOLkLF
Since the beginning of 2023 (1Q23-1Q24), $MPW has spent a *reported* cumulative ~$21.8 million of shareholder and bondholder capital on short seller litigation and "other," sourced from their own financial statements. Link: https://t.co/Nrei78QHJg Just a quick check-in on the… https://t.co/hWIVXvF1wq
"Hospital employees and people in the communities being served by Steward hospitals are awaiting the transition anxiously, uncertain if new operators will step forward and whether the hospitals can remain open" https://t.co/sC4k8ZW3tD
How could the short sellers do this? $MPW https://t.co/arK8cuBTmD
The final ~$75mm DIP draw is contingent on @Steward executing a binding PSA for "Stewardship." Without BMI, which we believe represents all or substantially of Stewardship profitability, who would step in to bid? What would they pay? Would $MPW step back up AGAIN to fund MORE… https://t.co/9M4LMLj2J4 https://t.co/6NhQG4IjdH
$MPW fallout continues. https://t.co/lf1vAd47np
Optum / $UNH walking from @Steward $MPW Link: https://t.co/IL8DUnd8SJ https://t.co/m47faUbdIO
Optum / $UNH walking from @Steward $MPW https://t.co/IL8DUncB3b