Kaiser Permanente Acquires Geisinger Health, Launching Risant Health
Kaiser Permanente announced on April 26 that it was acquiring Geisinger Health, which will join Risant Health, a new nonprofit organization created by the Kaiser Foundation Hospitals. Geisinger Health comprises 10 hospitals, as well as a health plan with more than half a million members. The Danville, Pennsylvania-based health system has 25,000 employees and more than 1,700 physicians. Kaiser Permanente is among the country’s largest nonprofit systems with 39 hospitals. Its operations span eight states coast to coast with roughly 13 million members who receive care through its integrated model. The organization reported $95.4 billion in operating revenue across 2022, as well as a $1.3... Read More »
UNC Health Southeastern Sells Home-Based Hospice Program to Lower Cape Fear LifeCare
Lumberton, North Carolina-based hospital UNC Health Southeastern (UNC) will transfer ownership of its community-based hospice operations to Lower Cape Fear LifeCare, effective May 1, 2023. The hospital is located in Robeson County, North Carolina and will continue to offer inpatient services. Lower Cape Fear LifeCare will assist UNC by providing palliative care consultations within the hospital. The transfer of its home-based hospice services will free up more resources for UNC’s palliative care program, according to UNC Health Southeastern President and CEO Chris Ellington. The financial terms of the transfer include a sale of tangible assets for an undisclosed dollar amount, with no... Read More »
Lifepoint Health Acquires Cornerstone Behavioral Health El Dorado
Lifepoint Health announced on January 23 that it acquired Cornerstone Behavioral Health El Dorado. Cornerstone Behavioral Health El Dorado’s operations will be rolled into the Lifepoint behavioral health business. Lifepoint plans to invest in Cornerstone Behavioral Health El Dorado’s growth and plans to add nearly 50 beds to the facility in the coming months. Terms of the deal were not disclosed. Cornerstone Behavioral Health El Dorado is a 54-bed facility in Tucson, Arizona. It offers acute inpatient treatment for mental health and substance use disorders Lifepoint Health, a subsidiary of RCCH HealthCare Partners, owns and operates 62 community hospitals, more than 30 rehabilitation and... Read More »
Amid Headwinds and Competition, Health Systems Look to New Markets in 2023
Hospitals and health systems have a complicated path ahead of them in 2023. Headwinds such as inflation, labor issues and operational costs have hit the industry hard, and M&A activity over the past two years has stagnated. Preliminary numbers from 2022 show that transaction volume remained level with 2021 numbers, with 65 and 64 announced mergers, respectively. Spending values were also remarkably unchanged year over year, based on disclosed prices. Spending in 2022 reached $9.2 billion, a small 7% decline compared with totals in 2021, which hit $9.87 billion. For context, in 2020, transaction volume climbed to 79 deals, and in 2019, it soared to 100 deals. COVID-19 is an obvious... Read More »
Kaufman Hall’s National Hospital Flash Report Reveals a Rough 2022 for Hospitals
A recently published National Hospital Flash Report from Kaufman Hall found that median hospital margins remained negative for 2022. The report was published on January 4, 2023, and tracked data up to December 2022. According to the report, hospital margins hit a low of -3.4% in January 2022 but steadily increased over the year to a high of -0.2% in November. The report stated that “significant increases in the cost of labor made it harder for hospitals to see positive margins in 2022.” Year-over-year numbers highlight the financial woes even further. Nationally, hospital profitability was down 32% and margins were down 27% compared to 2021. However, Kaufman found that the average net... Read More »Schedule a demo
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