Eastern Connecticut Health Network, a two-hospital system based in Manchester, previously considered mergers with three other nonprofit health systems before officials ultimately went with the for-profit Tenet Healthcare Corp., according to a Journal Inquirer report.
Last August, ECHN signed a nonbinding letter of intent to merge with Nashville, Tenn.-based Vanguard Health Systems and Yale New Haven (Conn.) Health System. Dallas-based Tenet later acquired Vanguard and became the primary acquirer.
According to the Journal Inquirer, ECHN had three other suitors at the table: Hartford (Conn.) HealthCare, Saint Francis Care, also in Hartford, and Western Connecticut Health Network in Danbury. However, ECHN President and CEO Peter Karl opted to go with Tenet because the nonprofit systems did not have "enough capital to help absorb us and create the scale necessary," according to the report.
Tenet and Yale created a strategic alliance in March, and the ECHN deal is one of several on the systems' expansion plates.
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