Plano, Texas-based LHP Hospital Group has signed a letter of intent to merge a previously announced joint venture between LHP, Saint Mary's Health System and The Waterbury Hospital, both in Waterbury, Conn., according to a LHP news release.
The JV will invest $400 million to construct a new medical center to replace both 367-bed Waterbury Hospital and 347-bed Saint Mary's Hospital. With combined revenue of more than $520 million, the new combined organization will be one of Connecticut's largest hospitals.
LHP will own an 80 percent interest in the JV, with Greater Waterbury Health Network — Waterbury Hospital's parent company — and Saint Mary’s each owning a 10 percent interest. Governance will be shared between all three parties. The JV will also operate in accordance with Catholic healthcare directives.
The next steps in the transaction will be to complete customary due diligence, negotiate and finalize the definitive agreements and obtain the necessary approvals from various regulatory bodies.
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The JV will invest $400 million to construct a new medical center to replace both 367-bed Waterbury Hospital and 347-bed Saint Mary's Hospital. With combined revenue of more than $520 million, the new combined organization will be one of Connecticut's largest hospitals.
LHP will own an 80 percent interest in the JV, with Greater Waterbury Health Network — Waterbury Hospital's parent company — and Saint Mary’s each owning a 10 percent interest. Governance will be shared between all three parties. The JV will also operate in accordance with Catholic healthcare directives.
The next steps in the transaction will be to complete customary due diligence, negotiate and finalize the definitive agreements and obtain the necessary approvals from various regulatory bodies.
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