For-profit hospitals may be multiplying in Massachusetts, as struggling non-profit community hospitals consider selling to large, for-profit health systems, according to a Boston Globe report.
Community hospitals looking for a buyer include Morton Hospital and Medical Center in Taunton, Mass., and Saints Medical Center in Lowell, Mass. Those involved in the negotiations expect the hospitals to be purchased by Steward Health Care System, a for-profit company formed to run the six Caritas Christi hospitals.
Vanguard Health Systems, a for-profit hospital company, may also be looking to buy, and Massachusetts non-profits may be forced out of the bidding war by the bidding power of chains like Vanguard and Steward. According to the report, Southcoast Hospitals Group in New Bedford and Lowell General Hospital have struggled to compete against Steward.
Struggling hospitals may be torn over whether to choose a non-profit buyer — which often pledge to maintain community focus and religious values — or a for-profit buyer — which can often promise more funding for technology investments and clinical improvements. The upcoming decisions by Morton and Saints are expected to set the stage for the future of Massachusetts' hospital mix.
Read the Boston Globe report on for-profit hospitals.
Read more about hospital transactions:
-FTC, Nevada AG Examine Renown Health's Partnerships With Cardiovascular Groups
-California's Sierra Vista Regional, Arizona's Carondelet End Partnerships
-FTC Receives Preliminary Injunction Against St. Luke's Merger With ProMedica
Community hospitals looking for a buyer include Morton Hospital and Medical Center in Taunton, Mass., and Saints Medical Center in Lowell, Mass. Those involved in the negotiations expect the hospitals to be purchased by Steward Health Care System, a for-profit company formed to run the six Caritas Christi hospitals.
Vanguard Health Systems, a for-profit hospital company, may also be looking to buy, and Massachusetts non-profits may be forced out of the bidding war by the bidding power of chains like Vanguard and Steward. According to the report, Southcoast Hospitals Group in New Bedford and Lowell General Hospital have struggled to compete against Steward.
Struggling hospitals may be torn over whether to choose a non-profit buyer — which often pledge to maintain community focus and religious values — or a for-profit buyer — which can often promise more funding for technology investments and clinical improvements. The upcoming decisions by Morton and Saints are expected to set the stage for the future of Massachusetts' hospital mix.
Read the Boston Globe report on for-profit hospitals.
Read more about hospital transactions:
-FTC, Nevada AG Examine Renown Health's Partnerships With Cardiovascular Groups
-California's Sierra Vista Regional, Arizona's Carondelet End Partnerships
-FTC Receives Preliminary Injunction Against St. Luke's Merger With ProMedica