Toledo, Ohio-based ProMedica Health has had its rating removed from a negative credit watch imposed in August 2022 and remains overall "BB" rated by S&P Global.
The outlook for the system remains negative because of "significantly weakened" reserves and following a definitive agreement to divest its skilled nursing business to new operators, S&P said.
In November, ProMedica walked away from a joint venture it had with healthcare infrastructure company Welltower, transferring as of Dec. 19, 2022, the real estate and management of all its facilities to Welltower while operations of the facilities went to new operators.
ProMedica serves communities in 28 states with 12 hospitals and more than 2,500 physicians and advanced practice providers.