Forest Park Medical Center's hospitals in Dallas and Fort Worth, Texas, filed for bankruptcy less than a month ago, and more of the system's physician-owned hospitals are likely headed down the same path, according to a Dallas Business Journal report.
Forest Park's hospital in Dallas closed Oct. 30, resulting in 196 layoffs. The system's Fort Worth hospital was put up for sale in October after the hospital missed an interest payment on a $66.8 million construction loan. Both hospitals were set for foreclosure auction on Dec. 1. However, with the recent bankruptcy filing, the auction was cancelled.
Other Forest Park facilities are also facing financial troubles. In September, the system's hospital in Frisco, Texas, filed for chapter 11 bankruptcy protection.
Todd Furniss, CEO of Dallas-based private equity firm glendonTodd Capital, and chairman of The Management Company at Forest Park Medical Center, told the Dallas Business Journal he believes more of the system's hospitals will file for chapter 11 bankruptcy in the first half of next year. However, he doesn't believe anymore of the system's facilities will close.
Mr. Furniss said a number of larger hospital systems have shown interest in Forest Park's hospitals. "Some are looking at an acquisition of all the Forest Park operating companies, and other are looking at maybe just one facility," he said.
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