Englewood, Colo.-based Catholic Health Initiatives has signed a nonbinding letter of intent to assume ownership of Memorial Health System of East Texas, based in
The healthcare organizations will now negotiate the terms of the transaction and expect to reach an agreement by this spring, according to a news release. Memorial cited changes in the national healthcare landscape that have made it difficult to operate independently as the reason behind the proposed acquisition.
"This proposed transaction will significantly strengthen and expand the 65-year mission of Memorial through the strong commitment and resources of CHI, a highly respected national healthcare organization and a very successful faith-based ministry," said Jack Sweeny, chairman of the board for Memorial, in the release.
Memorial's board of directors, the CHI board of stewardship trustees — in addition to federal, state and church authorities — will need to approve the transfer of ownership.
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