Providence, R.I.-based Lifespan and Lawrence (Mass.) General Hospital have entered into definitive agreements with Dallas-based Steward Health Care to acquire four of Steward's Massachusetts hospitals after Massachusetts Gov. Maura Healey shared that deals had been reached "in principle."
"As Steward continues to progress through the ongoing Chapter 11 proceedings, we are thrilled to have identified such qualified acquirers for hospitals in the Commonwealth that are critical to the health of underserved populations," John Castellano, chief restructuring officer for Steward, said in an Aug. 29 news release shared with Becker's.
Lifespan will purchase Taunton, Mass.-based Morton Hospital and Fall River, Mass.-based St. Anne's Hospital for $175 million, which includes the land and buildings associated with both hospitals.
The health system is also working to finalize an agreement to receive funding from Massachusetts for a "limited timeframe to support hospital operations," according to an Aug. 29 news release.
"I am confident our team has the experience and know-how to rebuild the infrastructure of these two hospitals and operate them as successful and thriving not-for-profit organizations," John Fernandez, president and CEO of Lifespan, said in the release.
Lawrence General also plans to purchase Holy Family Hospital in Methuen (Mass.) and Holy Family Hospital in Haverhill (Mass.).
In an Aug. 29 news release shared with Becker's, Abha Agrawal, MD, president and CEO of Lawrence General, said that "with support from the Commonwealth," the system has signed the agreement and is excited to build a "true regional healthcare system" to support quality and safety for the community.
Steward is working to finalize an agreement to sell Brockton, Mass.-based Good Samaritan Medical Center and Boston-based St. Elizabeth's Medical Center to Boston Medical Center.
"We continue to work as quickly as possible to complete the agreement for another qualified operator to take over Good Samaritan, move forward on our plans to take control of St. Elizabeth’s through eminent domain, and support the communities impacted by the upcoming closures of Nashoba Valley and Carney Hospitals," Ms. Healey said in an Aug. 29 news release shared with Becker's.
The sale agreements come as Steward nears the Aug. 31 closure of its Boston-based Carney Hospital and Ayer-based Nashoba Valley Medical Center, which will result in 1,243 employees being laid off.
The Massachusetts Nurses Association, which represents more than 2,800 Steward registered nurses, shared in an Aug. 29 news release with Becker's that while it is happy to see these hospitals survive, there is still concern over the closures of Carney and Nashoba Valley.
"...We continue to call on the Governor and the state to take action to save those hospitals," the news release said.
A sale hearing for the hospitals is scheduled for Sept. 4.
Becker's has reached out to Boston Medical Center and will update this story should more information become available.