REGIONAL HEALTH PROPERTIES Business Summary

Regional Health Properties, Inc. (RHE) operates as a self-managed healthcare real estate investment company specializing in the acquisition and leasing of skilled nursing and assisted living facilities. The company’s revenue model is bifurcated into two primary segments: the Real Estate segment, which generates rental income through long-term triple-net leases and sub-leases, and the Healthcare Services segment, which provides direct facility management and clinical operations. Following its 2025 merger with SunLink Health Systems, the company significantly expanded its portfolio scale and service integration, incorporating specialty pharmacy and healthcare technology assets into its operational mix. In the competitive landscape, RHE contends with larger-cap REITs such as Welltower Inc. (WELL), LTC Properties (LTC), and Global Medical REIT (GMRE). RHE occupies a distinct micro-cap niche, focusing on regional turnaround opportunities in the Southeastern United States and Ohio, where it leverages operational expertise to stabilize distressed assets that fall below the investment threshold of institutional-grade competitors. The leadership team is led by President and CEO Brent Morrison, who has steered the company since 2017 and brings a robust background in equity research and capital management from firms such as Zuma Capital and Wilshire Associates. Following the SunLink merger, Mark J. Stockslager assumed the role of Chief Financial Officer, contributing over four decades of experience in healthcare financial reporting and M&A. The executive suite is further supported by Paul J. O’Sullivan, Senior Vice President and Principal Accounting Officer, and Robert Thornton, Jr., Executive VP of Corporate Strategy. The company’s board of directors features high-pedigree industry veterans, including former Sunrise Senior Living CEO Chris Winkle and former Care Investment Trust CEO Scott Kellman. This governance structure, which includes long-standing director and founder-successor David A. Tenwick, provides the strategic oversight necessary to manage the company’s transition toward a more diversified healthcare property holding entity while navigating complex regulatory and debt forbearance environments.