Cancer treatment provider GenesisCare filed for Chapter 11 bankruptcy protection in the Southern District of Texas on Thursday and is looking to sell its underperforming US operations.
Sydney, Australia-based GenesisCare said in a news release that it is restructuring the business, including $1.7 billion in debt, to separate US operations into those in Australia, Spain and the UK.
The company, which has more than 300 locations worldwide and more than 5,500 physicians and support staff, plans to use $200 million in financing from existing lenders to operate the business.
GenesisCare, backed by private-equity firms KKR and China Resources Capital, entered the US in 2020 when it acquired 21st Century Oncology, which provides cancer care, urology and other services. Twenty First Century had struggled for years and previously filed for bankruptcy in 2017. Since GenesisCare took over, it has worked to improve revenue cycle management, payer contracts and IT systems — efforts that the company said are “beginning to produce results.”
A spokesperson for GenesisCare said that if a sale does not materialize, the company may also divest the US operations to a third-party capital provider.