Green Bay, Wis.-based Bellin Health Systems and Iron Mountain, Mich.-based Dickinson County Healthcare System terminated their asset purchase agreement May 21, according to TV NBC 6.
Here are four things to know about the aborted deal.
1. The organizations signed an asset purchase agreement in December 2017, and had expected to complete the due diligence process within six months.
2. Under the deal, Bellin Health Systems agreed to purchase DHCS for about $40 million to $50 million. But DCHS officials said the health system incurred unpredicted losses, driving up the asset purchase price, according to the report.
3. The health systems reached out to the state of Michigan for financial assistance to complete the deal but the state declined to help DCHS.
4. Bellin Health Systems and DCHS will continue to discuss other initiatives to build on their relationship and provide services to the community, the report states.