Baptist Health entered into a $361.4 million asset purchase agreement with Elizabethtown, Ky.-based Hardin Memorial Hospital, the Louisville, Ky.-based health system announced May 1.
The purchase agreement is subject to a vote by Hardin Memorial Hospital's board of trustees, scheduled to take place May 22. Baptist Health's board of directors approved the agreement May 1.
Under the terms of the agreement, Baptist Health will acquire all of Hardin Memorial's assets and commit $235 million in operating and capital investments to HMH during a 10-year period, and commit $126.4 million to Hardin County, which owns the hospital, during a 25-year period.
Other stipulations of the agreement include Baptist Health's commitment to offer employment to all HMH noncontracted employees at their existing rates of compensation, and provide medical staff membership and clinical privileges to HMH medical staff and providers with clinical privileges in good standing, among other elements.
HMH President Dennis Johnson and other members of the hospital's leadership will continue in their positions as part of the deal.
Officials expect to finalize the sale Dec. 1. At that time, Hardin Memorial Hospital will be rebranded Baptist Health Hardin.
The nine-hospital system Baptist Health and HMH signed a letter of intent for the acquisition last November.