LifePoint Hospitals in Brentwood, Tenn., and Fauquier Health in Warrenton, Va., have signed a definitive agreement to form a joint venture.
Under the deal, LifePoint would acquire 80 percent of Fauquier Health, which includes a 97-bed hospital and all other related assets. Fauquier would retain 20 percent ownership. Terms of the ownership stakes were not disclosed.
Further, LifePoint would invest $52.8 million toward Fauquier Health over the next decade for capital investments, such as technology and equipment. The joint venture would also eliminate Fauquier's debt and create a $100 million charitable foundation.
Fauquier President and CEO Rodger Baker said in a news release that the joint venture was a necessary measure "to provide quality care for the future."
LifePoint and Fauquier executives signed the initial memorandum of understanding to form the joint venture in March. The deal, which would bring the number of Virginia LifePoint hospitals up to six, still must receive approval from state Attorney General Ken Cuccinelli.
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