The sale of Wilmington, N.C.-based New Hanover Regional Medical Center to Novant Health is complete, the organizations said Feb. 1.
Winston-Salem, N.C.-based Novant Health won a bid to partner with New Hanover Regional last July. It was competing with two other health systems to acquire the medical center.
Under the final agreement, Novant Health committed to investing more than $5 billion in the medical center. The commitment includes more than $1.5 billion in upfront cash for the medical center and $3.1 billion for capital projects. Novant said the financial commitment to New Hanover will ensure support for "information technology and quality initiatives, improvements to existing facilities, new construction and other strategic capital."
Novant also will partner with Chapel Hill, N.C.-based UNC Health and its medical school to expand the medical education program at New Hanover Regional, including enhancing the long-standing pediatric program.
The final approval comes after North Carolina Attorney General Josh Stein said he would not object to Novant Health's $5.3 billion deal to purchase New Hanover Regional in a letter dated Jan. 21.
The letter came after the health systems agreed to increase transparency in a new local endowment and board to oversee New Hanover Regional, improve accountability to the public and ensure independence of the new local board of directors.
"We are excited to expand the Novant Health family to include New Hanover Regional Medical Center," said Carl Armato, president and CEO of Novant Health. "We are eager to hit the ground running and work with the local board and leadership team to identify our first steps to continue improving the health of those in New Hanover and surrounding communities."