Previously, private equity firm Argenta Group was going to finance KMC through the local municipal government with a $37 million investment. Last month, KMC lawyers told the bankruptcy court that Dylan Jagger Investment Co. would pay off the hospital’s debt instead.
Because the previous plans did not pan out, a new group — the Granger Group, a real estate investment firm based in Wyoming, Mich. — has stepped in, according to the report. If the proposed deal is expected, the Granger Group will immediately provide $1.5 million to complete the 20 private rooms that are under construction so KMC can generate more revenue. The firm will then assume roughly $21 million of the hospital’s debt.
KMC has until March 16 to finalize all information for the creditors and bankruptcy court.
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