Los Angeles-based Prospect Medical Holdings and CHA Partners have signed a letter of intent for CHA to acquire Upland, Pa.-based Crozer Health, a spokesperson for the system confirmed to Becker's.
The proposed deal would involve transitioning Crozer's four hospitals back to nonprofit status.
CHA, which owns five hospitals in New Jersey, will work with consulting firm Healthcare Preferred Partners to reach a definitive agreement for the acquisition of Crozer.
"We believe this is a positive step for our physicians, employees and the communities we serve, and will help secure Crozer Health's future as a critical healthcare provider in Delaware County," Crozer CEO Tony Esposito said in a statement shared with Becker's. "Because this is very early in the process and the negotiations are confidential, we are unable to provide any additional information at this time."
The proposed transaction is the latest in a series of hospital mergers and acquisitions in Pennsylvania.