Philadelphia-based Hahnemann University Hospital, which entered bankruptcy in June and closed this fall, has begun auctioning off medical supplies and equipment to pay off its creditors, according to thePhiladelphia Business Journal.
Centurion Services Group, a Chicago-based auction company, secured approval from the U.S. Bankruptcy Court to sell off the assets of Hahnemann University Hospital on behalf of the facility.
The initial timed auction, which is available online until Jan. 9, includes about three dozen pieces of fixed radiology equipment that would cost a facility hundreds of thousands of dollars to buy unused. The bidding for this used equipment will begin at $1,000, according to the report.
The second auction will be conducted over a live webcast next year from Jan. 14 to Jan. 17. It will include more than 1,000 specialty surgical instruments; 500 disposable instruments, such as catheters or staplers; 500 hospital beds or stretchers; 75 Medtronic defibrillators; 100 pieces of ultrasound-related equipment; 100 lots of endoscopy systems; 10 anesthesia machines; and 50 pieces of cardiology equipment.
Participants in the auction can also bid on a fully equipped hospital kitchen.
The sales will be used to pay off the hospital's creditors, including its, lender MidCap Financial. This summer, it was reported that Hahnemann's parent organization, Philadelphia Academic Health System, owed MidCap nearly $60 million.
Centurion has guaranteed that the auctions will result in a minimum of $2.2 million to pay off debts.
Read the full report here.