PainChek expands Sabra contracts to 23 US communities
PainChek (ASX: PCK) has announced expanded commercial uptake under its Master Services Agreement with Sabra Health Care REIT, Inc. (Nasdaq: SBRA). The Sabra footprint has grown from the first two Traditions memory care facilities announced on 4 June 2026 to 23 communities across five operators, with 808 contracted memory care licences.
The expansion converts the 14 April 2026 Master Services Agreement into community-level commercial contracts. For investors, it offers early evidence that US market access and operator relationships are turning into contracts.
Karen Holzberger, CEO of PainChek
“We have moved from the first two facilities to 23 communities across five operators.”
Contracted communities by operator
The 23 contracted communities span five national operators within Sabra’s senior housing portfolio. The table also shows each operator’s total communities across its wider portfolio.
| Operator | Total operator communities | Contracted communities |
|---|---|---|
| AgeWell | **38** | **4** |
| HDG | **56** | **6** |
| Phoenix Senior Living | **57** | **4** |
| The Claiborne | **16** | **7** |
| Traditions Senior Living | **25** | **2** |
| Total | 192 | 23 |
Together, the operators have 192 communities across their wider portfolios, which provides scope for additional adoption beyond the Sabra agreement. Further expansion remains subject to operator engagement and additional contracts.
The first two Traditions facilities were signed on three-year terms, and management described the capital-light model as transferrable to other large US healthcare REITs, which keeps the wider pipeline in focus.
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Understanding the US assisted living and memory care opportunity
Assisted living communities provide residential support for older adults, while memory care units cater to residents living with conditions such as dementia. Many of these residents cannot reliably self-report pain, which makes structured pain assessment important.
PainChek’s application combines AI-assisted facial analysis with a structured clinical assessment and the Numerical Rating Scale. It is designed to support care for people who cannot reliably self-report pain.
Management estimates the US assisted living and memory care segment represents approximately 1.2 million potential licences, with an estimated total addressable market value of A$100 million. These are addressable market estimates, rather than contracted demand or revenue guidance.
Annual recurring revenue (ARR) is revenue expected to repeat each year from ongoing licences. Implemented ARR matters because contracted licences only begin to contribute once communities are trained and licences are activated.
Why this segment first
PainChek’s new leadership team has set US priorities in assisted living and memory care, citing the following:
- Existing customer relationships
- Established integrations
- Implementation experience in comparable residential care settings in Australia and the UK
Growth pathways and implementation targets
Sabra headroom
PainChek’s initial prioritisation of memory care represents approximately 2,500 licences of the total Sabra deployment opportunity of up to 20,000. The 808 contracted licences sit within this priority segment.
Under the Master Services Agreement, Sabra has reduced contractual and cost barriers to adoption on behalf of participating operating partners. Sabra continues to introduce PainChek to operators within its wider portfolio.
Under the Master Services Agreement signed in April 2026, Sabra agreed to fund PainChek’s solution on behalf of its operating partners, which removed the budget barrier that typically slows adoption at individual facilities.
Silverado and the wider pipeline
Beyond Sabra, the announcement outlines further pathways:
- Silverado paid pilot: 203 licences across two sites, with the first site going live at the end of September 2026.
- Silverado wider opportunity: Silverado operates 31 sites, representing an estimated opportunity of 2,500 licences. Any expansion beyond the pilot depends on its evaluation and subsequent customer agreements.
- Additional operators: PainChek is progressing relationships and pipeline opportunities with additional US assisted living and memory care operators. Pipeline opportunities remain subject to customer decisions and contract execution.
Next milestones
PainChek’s operational team is targeting implementation, community staff training and licence activation across the contracted communities by 31 December 2026. The aim is to convert contracted uptake into implemented ARR.
Broader opportunities across skilled nursing, hospitals and home care remain part of the US growth strategy. Their development will be sequenced according to integration readiness, clinical workflows and the applicable reimbursement and regulatory requirements.
For baseline context, at 30 June 2026 PainChek had 90,198 implemented licences across 1,990 active sites, with implemented ARR of A$4.46 million. The announcement does not disclose pricing or contract value for the 808 contracted licences.
Holzberger said the immediate priority is clear: “…our immediate priority is to convert contracted uptake into recurring revenue.”
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