Dallas-based Tenet Healthcare has completed the sale of its 70% majority ownership interest in Birmingham, Ala.-based Brookwood Baptist Health to Orlando (Fla.) Health.
Here are six things to know:
1. The sale comprises five hospitals: Birmingham-based Brookwood Baptist Medical Center and Princeton Baptist Medical Center, Walker Baptist Medical Center in Jasper, Ala., Shelby Baptist Medical Center in Alabaster, Ala., and Citizens Baptist Medical Center in Talladega, Ala.
2. Tenet and Orlando Health entered into a definitive agreement Aug. 5 for the sale of the hospitals, which were valued at around $910 million in cash with approximately $790 million in after-tax proceeds.
3. Conifer Health Solutions, a revenue cycle management subsidiary of Tenet, entered into a 10-year contract to provide revenue cycle management services for the operations, according to an Oct. 1 Tenet news release.
4. Brookwood Baptist Health will remain owner in the partnership with Orlando Health and will continue as a faith-based organization while Orlando Health manages daily operations of the hospitals, according to an Oct. 1 Orlando Health news release shared with Becker's.
5. Thibaut van Marcke, senior vice president of Orlando Health, will lead the health system's Alabama region under the new deal. "This is a great day for Brookwood Baptist Health and Orlando Health," Mr. Marcke said in the release. "Our partnership offers a new day in healthcare for central Alabamians. With our proven track record of successful expansion lifting the care at our partner hospitals, we are dedicated to making this healthcare system the best in the state and beyond."
6. Tenet comprises 52 acute care facilities, around 640 outpatient centers and other facilities and 100,000 employees, according to its website.