Rennova Health Inc (RNVA)

[Filterthenoise]

End of the day Rennova took over abandoned, cash burning, rural hospitals that NO other company wanted within a terrible financial insurance climate and have been clearly trying to sync them as an integrated network for the future to give these beyond challenging hospital a slight opportunity to succeed. Looking back, could anyone have expected magic?

IMO there are many reasons why debt has accumulated while working to get these integrated. A few:

1. Previously no help from Feds
2. No CMS at JRMC but still have some overhead.
3. Issues starting up software into new plants
4. losses from previously unfriendly CMS environment.
5. Cost of slow reimbursements
6. Cost to get JRMC up and running again while trying to keep the other two afloat.
......

The company value to an outside entity is quite high I would suspect. If they pull off a partnership to boost these hospitals back up to fully operational and finish the job they set out, that would be quite a feat. And will be interesting to see how it works in a more friendly climate with larger backing to absorb the delayed payments.