Christus Health Ark-La-Tex, part of Irving, Texas-based Christus Health, has entered into a binding asset purchase agreement for Dallas-based Steward Health Care's Wadley Regional Medical Center in Texarkana, Texas.
The purchase price for the hospital is $4.5 million, according to Sept. 3 court documents obtained by Becker's.
"Christus Health Ark-La-Tex's qualified bid has been designated as the proposed stalking horse and, subject to the terms of the agreement, will be subject to higher or better-qualified bids due to be received by Sept. 9, 2024," a Sept. 3 news release shared with Becker's said. "Thereafter, an auction may occur in accordance with bankruptcy court-approved procedures."
The transaction, which is subject to customary closing conditions and regulatory approval, should close in the next few months if Christus Health Ark-La-Tex is able to secure the purchase.
"As Steward continues to move through the Chapter 11 process, we are working closely with various parties, officials and stakeholders in the Court supervised process to obtain the best results we can for our patients, employees, and the communities we serve," John Castellano, Chief Restructuring Officer for Steward, said in a Sept. 3 news release.
Steward, which sought Chapter 11 protection May 6, recently secured deals for six of its Massachusetts hospitals to be acquired. It closed Boston-based Carney Hospital and Ayer, Mass.-based Nashoba Valley Medical Center, on Aug. 31, resulting in 1,243 layoffs.
The for-profit health system is also in discussions with its landlord Medical Properties Trust to assume operational expenses for its hospitals in Pennsylvania, Ohio, Louisiana, Arkansas, Arizona, Texas and Florida.
Editor's note: This story has been updated as of Sept. 4 at 9:30 a.m. CT.