Gulf Coast Health Care files bankruptcy with debt over $100 million

By Sarah Lizee

Olympia, Wash., Oct. 14 – Gulf Coast Health Care, LLC filed Chapter 11 bankruptcy Thursday morning in the U.S. Bankruptcy Court for the District of Delaware.

According to court documents, the company intends to enter into a restructuring support agreement with some of its service providers, OHI Asset Funding (DE), LLC (Omega) and New Ark Capital, LLC.

The company is seeking approval of a $25 million debtor-in-possession term loan facility provided by Omega.

Gulf Coast Health is also requesting court approval to use the cash collateral of its pre-petition secured lenders.

The company listed $10 million to $50 million in assets and $100 million to $500 million in liabilities.

Its largest unsecured creditors are Delta Group, based in Pensacola, Fla., with a $49.4 million seller note, Omega Landlords, based in New York, with a $49 million rent claim, Centers for Medicare and Medicaid Services, based in Baltimore, Md., with an $11.52 million government programs claim, Millenia Claims Management, based in Boca Raton, Fla., with a $4.5 million trade claim, Omnicare, Inc., based in Cincinnati, with a $3.24 million trade claim, Anthem Insurance Cos., Inc., based in Indianapolis, with a $1.47 million benefits claim, and Careerstaff Unlimited, LLC, based in Irving, Tex., with a $1.32 million staffing agency claim.

Pensacola, Fla.-based Gulf Coast Health Care is a nursing home chain. The company filed Chapter 11 bankruptcy under case number 21-11336.

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