SELECTIS HEALTH, INC. 8-K

What Happened
Selectis Health, Inc. announced the January 15, 2026 closing of a Purchase and Sale Agreement under which two of its wholly‑owned subsidiaries (ATL/WARR, LLC and PROVIDENCE HR, LLC) sold substantially all real and personal property of two skilled nursing facilities to GA SNF SPARTA GA LLC and GA SNF WARRENTON GA LLC. The Facilities are Providence of Sparta Health and Rehabilitation (60 Providence St., Sparta, GA; 71 beds) and Warrenton Health and Rehabilitation (813 Atlanta Hwy, Warrenton, GA; 110 beds). The aggregate purchase price was $13.175 million, subject to customary prorations, holdbacks and adjustments.

Key Details

• Closing date: January 15, 2026.
• Purchase price: $13.175 million aggregate; $1.3 million held in escrow at closing (may be released to sellers absent indemnity claims).
• Post‑closing use of proceeds: a substantial portion used to pay transaction costs, repay an existing facility mortgage, satisfy existing notes and a contractual obligation; remaining funds expected to be used for working capital.
• Operations transfer: controlled lease operators of the Facilities transferred all assets and operations to purchaser‑controlled operators under an Operations Transfer Agreement; no separate consideration was paid for that transfer.
• The company filed unaudited pro forma condensed consolidated financial statements reflecting the disposition and related adjustments as Exhibit 99.1 to the 8‑K.

Why It Matters
This disposition reduces Selectis Health’s direct operating exposure to these two Georgia skilled nursing facilities and provides immediate liquidity used to eliminate mortgage and other indebtedness, which can improve the company’s balance sheet and near‑term cash flow needs. Investors should note the $1.3M escrow that could be retained if indemnity claims arise and that pro forma financials have been provided to show the transaction’s impact on the company’s financials.