Nashville, Tenn.-based Hospital Corporation of America has emerged as a new player in the now wilted partnership deal between Novant Health and Memorial University Medical Center, according to the Savannah Morning News.
Winston-Salem, N.C.-based Novant Health called off partnership negotiations with Savannah, Ga.-based Memorial earlier this week due to disagreements between Memorial Health and local stockholder Catham County Hospital Authority.
"The Authority has indicated its intent to go beyond its historical role and has insisted upon inserting itself into the detailed oversight of Memorial operations, potentially resulting in inconsistent direction from two differing governing bodies," Novant Health CEO Carl S. Armato told Memorial officials in a memo. "It has become clear to us at Novant Health that there is a lack of alignment among the Authority, the Memorial Board and the other local stockholders. We do not believe that proposed partnership would be successful in such an environment."
In a two-page letter, to Catham County Hospital Authority Chairman Don Waters, HCA official Joe Sowell said that while the hospital operator was not involved in the original process, "We are re-affirming our interest in the lease, acquisition or joint venture of Memorial," according to the Savannah Morning News.
HCA's offer mirrors its bid in September to Memorial Health President and CEO Maggie Gill, which valued the hospital between $550 million and $575 million with a payment of 80 percent of the total value, according to the report.
"I take this as a very, very serious offer that we should consider very seriously," Mr. Waters said, according to the report. "We have to be open-minded and consider all alternatives available to the community."
HCA's proposal includes the guarantees for core services that the authority sought from its negotiations with Novant, Mr. Water said.
"I will encourage a thorough review of HCA's offer, but it does not foreclose further discussions with Novant," he said, according to the report.