The following news stories regarding hospital transactions broke within the last two weeks, beginning with the most recent.
1. California AG Nixes Sale of Community Hospital to Prime Healthcare
The California attorney general denied the sale of Victor Valley Community Hospital in Victorville, Calif., to Prime Healthcare Services Foundation, saying the deal would not be in the public interest. The foundation, which is the non-profit arm of Ontario, Calif.-based Prime Healthcare Services, said Attorney General Kamala Harris did not provide specific reasons for the decision. The 14-hospital operator also said the AG is using "the legal authority of her office to make league with one particular labor organization that has been running a blatantly false smear campaign" against Prime.
2. Massachusetts' Cooley Dickinson Hospital Narrows Potential Partners to 3
By early December, Cooley Dickinson Hospital in Northampton, Mass., is expected to select one of three potential partners to move forward with a merger or sale. The finalists are Baystate Health Systems of Springfield, Mass., Massachusetts General Hospital in Boston and Vanguard Health Systems of Nashville, Tenn.
3. South Carolina's Bamberg, Barnwell Counties Approval Development of Regional Health System
Two South Carolina Counties approved a deal that will merge Barnwell (S.C.) County Hospital and Bamberg (S.C.) County Hospital into a regional health system. Under the agreement, an affiliate Dobbs Equity Partners will acquire both hospitals, which will then begin Chapter 9 bankruptcy proceedings to reorganize debt. The new health system will merge the two hospitals and build a new regional facility.
4. Physicians Hospital System Acquires Aurora Hospital in North Dakota, to Re-Open as Doctors Hospital
Physicians Hospital System acquired Aurora Hospital in Grand Forks, N.D., which will be re-opened as Doctors Hospital. The new facility, to be named Doctors Hospital, will be a full-service facility offering an emergency department, intensive care unit and obstetrics.
5. Pennsylvania's Geisinger, Bloomsburg Health Sign Definitive Agreement to Merge
Danville, Pa.-based Geisinger Health System signed a definitive agreement to merge with Bloomsburg (Pa.) Health System. Bloomsburg includes Bloomsburg Hospital, Bloomsburg Health Care Center, Columbia Montour Home Health and Hospice and Bloomsburg Physicians Services. Upon regulatory approval, Bloomsburg's approximately 800 employees will keep their jobs as the system merges into Geisinger.
6. Illinois' Alexian Brothers Signs Definitive Agreement With Ascension Health
Alexian Brothers Health System, based in Arlington Heights, Ill., and Ascension Health, based in St. Louis, have signed a definitive agreement for ABHS to join the Ascension system. Terms of the agreement are confidential, according to the release. The agreement now goes to the Illinois Health Facilities and Services Review Board for review.
7. Centura Sells Granby Medical Center in Colorado for $2.6M
Denver-based Centura Health plans to sell St. Anthony Granby (Colo.) Medical Center for $2.6 million to Kremmling (Colo.) Memorial Hospital District. The sale is part of a new affiliation agreement between the two parties, in which the hospital district and Centura will develop shared treatments, such as cardiac, stroke, spine, oncology and trauma programs.
8. Home Health Company to Lead Turnaround of New York's Struggling Peninsula Hospital
Brooklyn-based Revival Home Health Care will operate Peninsula Hospital in Far Rockaway, N.Y., and has extended an $8 million line of credit to the hospital to keep it open.
9. Oklahoma's Pauls Valley General Narrows Partnership Options
Pauls Valley (Okla.) General Hospital may be weeks away from finalizing a partnership. PVGH CEO Gayle Sturgis has said the hospital narrowed its potential partnerships down from a handful to two. The hospital sent requests for proposal letters to Norman (Okla.) Regional Health System and Oklahoma City-based St. Anthony Health System, Integris Health System and Mercy Health System. The most appeal for affiliation seems to be with either Mercy or St. Anthony, according reports.
10. Massachusetts AG Signs Off on Steward Purchase of Morton Hospital, Quincy Medical Center
Massachusetts Attorney General Martha Coakley's Office approved the transfers of Morton Hospital in Taunton and Quincy (Mass.) Medical Center to an affiliate of Steward Health Care System. The AG signed off on the proposed transfer of both hospitals to a for-profit entity, finding the deals met required criteria. As part of the approval process, the AG's Office also improved the original terms of the agreements by installing more safeguards to ensure the transactions are in public interest.
11. FTC Approves HMA's Acquisition of Cincinnati's Catholic Health Partners Subsidiary
The Federal Trade Commission signed off on Naples, Fla.-based Health Management Associates' acquisition of Mercy Health Partners system, a seven-hospital subsidiary of Catholic Health Partners, for $525 million. The notice of early termination reflects the FTC's decision to not pursue more rigorous antitrust investigation.
12. Chicago's Mercy Hospital in Talks to Merge With Trinity Health
Chicago's Mercy Hospital and Medical Center is in talks to merge with Novi, Mich.-based Trinity Health — the same Catholic system that purchased Maywood, Ill.-based Loyola University Health System in July. The 479-bed Mercy confirmed "friendly" discussions with Trinity Health, but the hospital has not revealed what type of transaction is in discussion.
13. RegionalCare, Essent to Merge Into 7-Hospital System
Brentwood, Tenn.-based RegionalCare Hospital Partners signed a definitive agreement to merge with Nashville, Tenn.-based Essent Healthcare. The merger will create a seven-hospital system. RegionalCare owns and operates four hospitals in Alabama, Iowa and Ohio, while Essent owns and operates three hospitals in Connecticut, Pennsylvania and Texas. Terms of the deal were not disclosed.
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13 Recent Hospital Transaction Developments
1. California AG Nixes Sale of Community Hospital to Prime Healthcare
The California attorney general denied the sale of Victor Valley Community Hospital in Victorville, Calif., to Prime Healthcare Services Foundation, saying the deal would not be in the public interest. The foundation, which is the non-profit arm of Ontario, Calif.-based Prime Healthcare Services, said Attorney General Kamala Harris did not provide specific reasons for the decision. The 14-hospital operator also said the AG is using "the legal authority of her office to make league with one particular labor organization that has been running a blatantly false smear campaign" against Prime.
2. Massachusetts' Cooley Dickinson Hospital Narrows Potential Partners to 3
By early December, Cooley Dickinson Hospital in Northampton, Mass., is expected to select one of three potential partners to move forward with a merger or sale. The finalists are Baystate Health Systems of Springfield, Mass., Massachusetts General Hospital in Boston and Vanguard Health Systems of Nashville, Tenn.
3. South Carolina's Bamberg, Barnwell Counties Approval Development of Regional Health System
Two South Carolina Counties approved a deal that will merge Barnwell (S.C.) County Hospital and Bamberg (S.C.) County Hospital into a regional health system. Under the agreement, an affiliate Dobbs Equity Partners will acquire both hospitals, which will then begin Chapter 9 bankruptcy proceedings to reorganize debt. The new health system will merge the two hospitals and build a new regional facility.
4. Physicians Hospital System Acquires Aurora Hospital in North Dakota, to Re-Open as Doctors Hospital
Physicians Hospital System acquired Aurora Hospital in Grand Forks, N.D., which will be re-opened as Doctors Hospital. The new facility, to be named Doctors Hospital, will be a full-service facility offering an emergency department, intensive care unit and obstetrics.
5. Pennsylvania's Geisinger, Bloomsburg Health Sign Definitive Agreement to Merge
Danville, Pa.-based Geisinger Health System signed a definitive agreement to merge with Bloomsburg (Pa.) Health System. Bloomsburg includes Bloomsburg Hospital, Bloomsburg Health Care Center, Columbia Montour Home Health and Hospice and Bloomsburg Physicians Services. Upon regulatory approval, Bloomsburg's approximately 800 employees will keep their jobs as the system merges into Geisinger.
6. Illinois' Alexian Brothers Signs Definitive Agreement With Ascension Health
Alexian Brothers Health System, based in Arlington Heights, Ill., and Ascension Health, based in St. Louis, have signed a definitive agreement for ABHS to join the Ascension system. Terms of the agreement are confidential, according to the release. The agreement now goes to the Illinois Health Facilities and Services Review Board for review.
7. Centura Sells Granby Medical Center in Colorado for $2.6M
Denver-based Centura Health plans to sell St. Anthony Granby (Colo.) Medical Center for $2.6 million to Kremmling (Colo.) Memorial Hospital District. The sale is part of a new affiliation agreement between the two parties, in which the hospital district and Centura will develop shared treatments, such as cardiac, stroke, spine, oncology and trauma programs.
8. Home Health Company to Lead Turnaround of New York's Struggling Peninsula Hospital
Brooklyn-based Revival Home Health Care will operate Peninsula Hospital in Far Rockaway, N.Y., and has extended an $8 million line of credit to the hospital to keep it open.
9. Oklahoma's Pauls Valley General Narrows Partnership Options
Pauls Valley (Okla.) General Hospital may be weeks away from finalizing a partnership. PVGH CEO Gayle Sturgis has said the hospital narrowed its potential partnerships down from a handful to two. The hospital sent requests for proposal letters to Norman (Okla.) Regional Health System and Oklahoma City-based St. Anthony Health System, Integris Health System and Mercy Health System. The most appeal for affiliation seems to be with either Mercy or St. Anthony, according reports.
10. Massachusetts AG Signs Off on Steward Purchase of Morton Hospital, Quincy Medical Center
Massachusetts Attorney General Martha Coakley's Office approved the transfers of Morton Hospital in Taunton and Quincy (Mass.) Medical Center to an affiliate of Steward Health Care System. The AG signed off on the proposed transfer of both hospitals to a for-profit entity, finding the deals met required criteria. As part of the approval process, the AG's Office also improved the original terms of the agreements by installing more safeguards to ensure the transactions are in public interest.
11. FTC Approves HMA's Acquisition of Cincinnati's Catholic Health Partners Subsidiary
The Federal Trade Commission signed off on Naples, Fla.-based Health Management Associates' acquisition of Mercy Health Partners system, a seven-hospital subsidiary of Catholic Health Partners, for $525 million. The notice of early termination reflects the FTC's decision to not pursue more rigorous antitrust investigation.
12. Chicago's Mercy Hospital in Talks to Merge With Trinity Health
Chicago's Mercy Hospital and Medical Center is in talks to merge with Novi, Mich.-based Trinity Health — the same Catholic system that purchased Maywood, Ill.-based Loyola University Health System in July. The 479-bed Mercy confirmed "friendly" discussions with Trinity Health, but the hospital has not revealed what type of transaction is in discussion.
13. RegionalCare, Essent to Merge Into 7-Hospital System
Brentwood, Tenn.-based RegionalCare Hospital Partners signed a definitive agreement to merge with Nashville, Tenn.-based Essent Healthcare. The merger will create a seven-hospital system. RegionalCare owns and operates four hospitals in Alabama, Iowa and Ohio, while Essent owns and operates three hospitals in Connecticut, Pennsylvania and Texas. Terms of the deal were not disclosed.
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