Beth Israel Deaconess Medical Center and Milton Hospital in Boston announced their intent to merge within the next six months, report the Boston Globe and the Boston Business Journal.
The Milton board voted earlier this week to approve a memorandum of understanding that would give Beth Israel control of its strategic and financial operations. In exchange, Beth Israel would make significant investments in Milton's physicial and clinical infrastructure. The Milton management and board would still have control over the hospital's day-to-day operations.
Beth Israel is one of Boston's largest hospitals, with $1.24 billion in revenue in 2008. Milton's 2008 revenue was $61.9 million. Milton made a small profit in 2010, but had lost millions in previous years.
Milton and Beth Israel's business relationship dates back to 2003, when the two facilities began collaborating on emergency care, cardiovascular care and geriatrics. Milton became an official affiliate of Beth Israel in 2005, and mentions the affiliation prominently on its website.
For more:
- here's the Boston Globe article
- read the Boston Business Journal article