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Prospect's acquisition of Crozer-Keystone clears final regulatory hurdle

The Delaware County Orphans Court has approved the sale of Springfield, Pa.-based Crozer-Keystone Health System to Prospect Medical Holdings, a for-profit hospital operator based in Los Angeles.

With the last regulatory hurdle cleared, Prospect will pay $300 million for Crozer-Keystone. That figure includes up to $120 million in pension fund liabilities, $15 million in liability insurance coverage and the assumption of $160 million in long-term debt obligations, according to the Philadelphia Business Journal.

Prospect and Crozer-Keystone inked a definitive agreement in January. Under the deal, Crozer-Keystone's five hospitals, its physician network and other facilities will become part of the Prospect Network.

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