University of Maryland Medical System in Baltimore and Catholic Health Initiatives in Englewood, Colo., have signed an asset purchase agreement in connection with St. Joseph Medical Center in Towson, Md., finalizing a deal that has been developing since March.
On March 23, CHI accepted the recommendation of SJMC's board of directors to sell the assets of SJMC to UMMS. In November, the organizations announced that a deal was expected Dec. 1, which is when the deal will become effective.
Under the asset purchase agreement, St. Joseph will be a subsidiary of UMMS, and current employees will become UMMS employees. UMMS will not assume any SJMC liabilities arising from events occurring prior to Dec. 1. Liabilities will remain with SJMC and CHI.
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On March 23, CHI accepted the recommendation of SJMC's board of directors to sell the assets of SJMC to UMMS. In November, the organizations announced that a deal was expected Dec. 1, which is when the deal will become effective.
Under the asset purchase agreement, St. Joseph will be a subsidiary of UMMS, and current employees will become UMMS employees. UMMS will not assume any SJMC liabilities arising from events occurring prior to Dec. 1. Liabilities will remain with SJMC and CHI.
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