Allegiance Health Joins Henry Ford Health System
Even large hospitals are looking to scale up these days. That’s what drove Allegiance Health, a 480-bed community hospital in Jackson, Michigan, to sign on with Detroit-based Henry Ford Health System. Henry Ford is a five-hospital system that provides both health insurance and health care delivery, including acute, specialty, primary and preventive care services. Allegiance Health wasn’t financially troubled, having reported nearly $480 million in operating income through June 30, 2015, and about $32 million in EBITDA. This deal between the two not-for-profit systems will enable Allegiance to expand its services and build clinical capacity. The process isn’t expected to... Read More »Hospital Bankruptcies Contributing to M&A Volume
The hospital sector staged a strong showing in February, with 11 transactions recorded thus far. The month’s total beat January’s four deals, and was even higher than December 2015’s nine transactions. Unfortunately, bankruptcy proceedings provided the catalyst for four of February’s hospital deals, and we’re sure to see more in the year ahead. Last year, at least 11 hospital deals involved a bankrupt facility, so four already on the books in 2016 doesn’t seem to bode well. Prices for the hospitals reached $96.2 million, which was what HCA North Texas (NYSE: HCA) paid for Forest Park Medical Center at Frisco, a 54-bed hospital that is part of the failing, physician-owned chain in Texas.... Read More »Leap Day Boosts February Deal Volume
It’s Leap Year, which means February was a day longer in 2016. This year, that extra day marked the announcement of seven healthcare transactions, which raised the month’s total to a healthy 113 deals. The services sectors were more active than usual, and accounted for 65% of the total. Usually, the services side makes up about 55% to 60%. Dollar volume was healthy, too, at $27.7 billion. But given the records set in 2015, February’s dollar total ended up 35% below the same month a year ago. The deals may be getting smaller, but they’re still being made. Read More »
Wheaton Franciscan Joins Ascension Wisconsin
It’s final. On March 1, 2016, Wheaton Franciscan Healthcare joined the local network of St. Louis, Missouri-based Ascension. Wheaton Fransican, sponsored by the Wheaton Franciscan Sisters and Felician Sisters, has eight hospital campuses, 330 physician medical groups, outpatient centers, transitional and long-term care facilities, home health and hospice services. It became the fourth regional system that is part of Ascension Wisconsin, joining Columbia St. Mary’s, Ministry Health Care and Affinity Health System. With this transaction, Ascension Wisconsin has 27 hospitals, 114 primary care clinics, more than 24,000 associates, including more than 1,000 physicians. This... Read More »Kindred and Select Medical Swap LTACs
It’s getting so you can’t tell the players without a program. On February 18, Kindred Healthcare Inc. (NYSE: KND) and Select Medical Holdings Corporation (NYSE: SEM) announced they were trading nine long-term acute care (LTAC) hospitals in various markets. Kindred got the larger part of the trade, acquiring the operations of five of Select Medical’s LTACs for a total of 233 beds. They are located in Indianapolis, Indiana; San Antonio, Texas; Houston, Texas; Denver, Colorado; and Colorado Springs, Colorado. The hospital in Houston occupies the sixth and seventh floors of the Houston Medical Center. Select Medical took on four of Kindred’s LTACs with a combined total... Read More »Schedule a demo
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