Two more Pennsylvania healthcare organizations said they will not make an offer to buy the financially struggling West Reading, Pa.-based Tower Health, according to the Philadelphia Business Journal.
Allentown, Pa.-based Lehigh Valley Health Network and Lahaska, Pa.-based StoneBridge Healthcare, a new healthcare company that plans to buy acute-care hospitals, said they both decided not to submit bids.
The decision comes after two Pennsylvania health systems, University of Pennsylvania Health System in Philadelphia and Pittsburgh-based UPMC, told investors in March they are not interested in acquiring Tower Health due to its financial woes.
Tower Health, a seven-hospital system, has been looking for a "like-minded" suitor to purchase it and improve its finances. In its most recent financial report, Tower Health said it received multiple indications of interest from potential buyers and is working to review the proposals by mid-July.
Through the first nine months of fiscal 2021, Tower Health's operating loss reached $228.4 million. In the same nine-month period one year prior, Tower Health recorded an operating loss of $132 million.