Transaction Will Improve Healthcare in the U.P.
MARQUETTE, Mich.--(BUSINESS WIRE)-- The Marquette General Health System (MGHS) Board of Trustees is one step closer to enhancing healthcare provided in the Upper Peninsula. The board announced today that it has signed a memorandum of understanding to join Duke LifePoint Healthcare, a joint venture of Duke University Health System, Inc. and LifePoint Hospitals.
The memorandum of understanding is a non-binding agreement that allows Marquette General and Duke LifePoint to move forward with due diligence and other necessary steps to pursue an acquisition of MGHS by Duke LifePoint.
“The acquisition by Duke LifePoint is an historic opportunity for Marquette General and the Upper Peninsula,” said Brad Cory, Chair of the Marquette General Health System Board of Trustees. “As part of Duke LifePoint, we will have the ability to improve the quality of healthcare in the Upper Peninsula, strengthen Marquette General financially and expand our role in the region, working with other Upper Peninsula hospitals.”
Over the next two to four months, Marquette General and Duke LifePoint will examine all aspects of the proposed acquisition and negotiate a definitive agreement. Once definitive agreement is reached, the transaction will be subject to various government approvals, including a thorough review process by the Michigan Attorney General.
“Our board carefully reviewed strategic options with organizations from across the country, and Duke LifePoint is clearly the best match for Marquette General and the communities we serve,” said Judy Watson-Olson, Vice-Chair of the MGHS Board. “Duke LifePoint’s team shares our dedication to quality healthcare in this region and commitment to our patients, employees and physicians. Together, we will be able to ensure that Marquette General is here caring for and serving our community for generations to come.”
Duke LifePoint combines LifePoint's extensive operational resources and experience in successfully managing 54 community-based hospitals across the country with Duke's renowned expertise and leadership in the development of patient safety and clinical quality systems. Marquette General will become the fourth hospital in the Duke LifePoint network and the first in Michigan.
“We are excited at the prospect of welcoming Marquette General to the Duke LifePoint system,” said William J. Fulkerson, Jr., MD, Executive Vice President of Duke University Health System. “The hospital has a solid reputation for high quality care and a strong commitment to its community. Our team is looking forward to exploring how we can work with Marquette General to strengthen its quality and enhance healthcare throughout the Upper Peninsula.”
Duke LifePoint’s acquisition proposal includes significant financial commitments to enhance quality care and patient safety and expand service lines to better serve patients throughout the Upper Peninsula. Investments will be made in major capital improvements, including construction of a state-of-the-art outpatient surgery center, comprehensive cancer center, private patient rooms, new technology and new IT infrastructure. The proposal also includes investments to boost physician recruitment.
Resources from the transaction will be available to meet the hospital’s pension obligations and provide funding for foundation grants to support community-based healthcare organizations and initiatives. In addition, Duke LifePoint shares a fundamental commitment to the MGHS workforce and to continuation of MGHS’s historical provision of charity care.
“We are committed to making sure that Marquette General continues to be the place you trust for healthcare in the Upper Peninsula and beyond,” said Cory. “The hospital will continue to operate the Level II Trauma Center, our leading Oncology Center with its recently acquired Linear Accelerator and CT Simulator, and the only neo-natal intensive care center in the region. And Marquette General will continue to be one of the top cardio hospitals in the country.”
As part of the proposed Duke LifePoint acquisition, the Marquette community will receive an economic boost from the construction of new facilities, spending at local businesses and municipal tax payments.
“Duke LifePoint is building a strong system of quality-driven hospitals and providers that are well positioned for success,” said LifePoint Chairman and Chief Executive Officer William F. Carpenter III. “Duke LifePoint and Marquette General have a great opportunity to capitalize on each organization’s innovative approach to integrated delivery of quality healthcare in this region. Together, we will broaden the clinical services available here and advance our shared dedication to clinical quality and patient safety.”
“As part of Duke LifePoint, we will be able to create new opportunities and new jobs for doctors, nurses and healthcare professionals in the Upper Peninsula,” said Gary Muller, President and CEO of MGHS. “We will have new centers of excellence at Marquette General, new and expanded service lines, and mentoring and training programs for our staff to improve patient care.”
Further information on the proposed relationship with Duke LifePoint will be available on the Marquette General web site at www.mgh.org.
About Marquette General Hospital
Marquette General Hospital is a federally designated Regional Referral Center and a member of Superior Health Partners. We are the regional medical center for Michigan's Upper Peninsula and beyond. Marquette General is the region's Level II Trauma Center and a Thomson Reuters’ Top 50 Cardiovascular Hospital. Marquette General receives patients from throughout Upper Michigan and provides care in 65 specialties and subspecialties. Our medical staff of more than 200 doctors works as a team with our 2,400 employees in caring for approximately 12,000 inpatients and more than 350,000 outpatients a year. For additional information, visit www.mgh.org.
About Duke LifePoint Healthcare
Duke LifePoint Healthcare, a joint venture of Duke University Health System, Inc. and LifePoint Hospitals® (NASDAQ: LPNT), was established to build a dynamic network of hospitals and healthcare providers. The joint venture, which brings together LifePoint's experience in community-based hospital management and Duke's world-renowned leadership in clinical service, is strengthening and improving healthcare delivery by providing community hospitals the clinical, quality and operational resources they need to grow and prosper. For additional information, visit www.dukelifepointhealthcare.com.
Marquette General Health System
Dave Edwards, 906-225-4770
Duke Medicine Office of News & Communications
Melissa Schwarting, 919-660-1303
Seigenthaler Public Relations
Nicole Cottrill, 615-327-7999
KEYWORDS: United States North America Michigan
INDUSTRY KEYWORDS: Health Hospitals