Quorum Health Corp., the 36-hospital spinoff of Franklin, Tenn.-based Community Health Systems, has inked a definitive agreement to sell 60-bed Cherokee Medical Center in Centre, Ala., to NNZ Holdings.
Quorum Health said it expects the transaction, which is subject to customary regulatory approvals, to close within 60 days.
The divestiture is part of Quorum Health's quest to sell off its underperforming assets. This is the company's third divestiture in recent months. In December, Quorum Health finalized the sale of Barrow Regional Medical Center in Winder, Ga., and Sandhills Regional Medical Center in Hamlet, N.C. Quorum expects to receive a combined $25 million for Sandhills Regional and Barrow Regional. Those funds will be used to pay down the company's debt. The financial terms of the Cherokee Medical Center transaction have not been released.
Regarding the agreement to sell Cherokee Medical Center, Quorum Health President and CEO Thomas D. Miller said, "Our efforts to refine our portfolio continue as we announce our third definitive agreement to divest non-core assets and we continue to have active discussions on further divestiture opportunities."
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