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Can a California hospital operator save Hahnemann?

KPC Global, a Santa Ana, Calif.-based hospital operator, submitted a last-minute filing Aug. 29 to participate in a bankruptcy hearing that could determine the fate of Philadelphia-based Hahnemann University Hospital's residency program, according to Philadelphia Business Journal.

U.S. Bankruptcy Judge Kevin Gross will decide Sept. 4 if a $55 million bid from a coalition of health systems, led by Philadelphia-based Jefferson Health, is legal. The health systems bid to buy Hahnemann's 550 residency slots, as the hospital is slated to close this month. Several groups have challenged the sale, most notably CMS. The federal agency seeks to block the sale, in part so it can recoup Medicare overpayments to Hahnemann.

KPC Global's filing says it will buy and reopen Hahnemann for $60 million if the Jefferson bid falls through, and it will submit a separate bid for the children's hospital in a few weeks, according to the report. KPC also submitted a bid for the residency program, but lost to the Jefferson-led coalition, according to WHYY.

If the residency sale is approved, WHYY reports that KPC's offer is unlikely to matter.

 

More articles on transactions and valuation:

Health industry transactions ramped up in July
CHS sells 2 Florida hospitals
Quorum's sale of California hospital moves forward

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