Florida's two-hospital Wuesthoff Health System has signed a nonbinding agreement to be sold to an undisclosed buyer, according to a report by Florida Today.
The health system has been dragged down by losses at its 115-bed Wuesthoff Medical Center-Melbourne, according to the report. Wuesthoff opened the hospital in 2003, following a protracted certificate-of-need dispute with Health First, a four-hospital system that operates 514-bed hospital Holmes Regional Medical Center in Melbourne.
Wuesthoff issued $75 million in bonds to build and expand the hospital, but the organization has failed to maintain debt-to-asset ratios required under its bond agreements, according to the report.
From Oct. 2008-Sept. 2009, the hospital had $48.1 million in assets and $66 million in liabilities and posted an operating loss of nearly $800,000 for the year.
Read Florida Today's report on Wuesthoff Health System.