Despite uncertainty surrounding health reform and national policy discussions making healthcare executives cautious about mergers and acquisitions, the industry already is seeing some M&A activity this month.
For instance, Tennessee-based LifePoint Hospitals today signed an asset purchase agreement to acquire Woods Memorial Hospital, the latter announced. Woods Memorial cited its new partner's financial strength and large regional presence as the reason for the partnership.
Meanwhile, after completing an antitrust investigation, the Connecticut Attorney General yesterday approved the proposed merger between Yale-New Haven (Conn.) Hospital and The Hospital of Saint Raphael in New Haven. The attorney general and the Federal Trade Commission investigated whether Yale's acquisition of Saint Raphael would stifle competition by using its combined size and market clout to boost prices.
Yesterday, Denver-based Catholic Health Initiatives (CHI) and Immanuel agreed to transfer sponsorship and governance of 10-hospital Alegent Health to CHI. Joining the national national trend toward specialization and consolidation, Immanuel is transitioning its sponsorship of Alegent so that it can focus on senior care services, according to the announcement.
To further its goal of providing quality, cost-effective care, California's Prime Healthcare Services acquired Pampa (Texas) Regional Medical Center, a 115-bed acute care community hospital, from Signature Hospital Corporation in Houston, Prime announced Friday.
That same day, Ohio health system ProMedica signed an agreement to form a long-term relationship with Memorial Hospital in Fremont to give residents of northwest Ohio better access to needed services.