Spartanburg (S.C.) Regional Healthcare System could take over Union, S.C.-based Wallace Thomson Hospital and Ellen Sagar Nursing Home as part of a bankruptcy settlement plan for the Union Hospital District, according to The State.
Under the plan, which is pending approval by creditors and a bankruptcy judge, Spartanburg Regional would operate Wallace Thompson for three to four years before building a new hospital nearby, according to the report, which cites proposed settlement documents filed in U.S. Bankruptcy Court last week.
Wallace Thompson CEO Paul Newhouse told The State that once the new hospital is finished, the old facility will be sold to help pay off millions of dollars in outstanding debt.
The proposed plan also calls for Spartanburg Regional to hire "substantially all" of the hospital district's about 540 employees, according to the report. Spartanburg Regional will pay a $1 lease for the facility and be responsible for the costs of operation, according to Mr. Newhouse.
The Union Hospital District filed for Chapter 9 bankruptcy last year.
More articles on hospital transactions and valuation issues:
Nobilis to acquire Victory Medical Center Houston
Humana acquires NP home care service in Florida
HCA deal for Louisiana hospital blocked by Tulane contract