Sold, Closed, Resold: The Verity Health Saga

Sold, Closed, Resold: The Verity Health Saga

by | Apr 14, 2020 1:51 pm | Hospitals

It’s hard enough to go through Chapter 11 bankruptcy proceedings once. Verity Health System, which has had a string of for-profit owners since it was sold by the Daughters of Charity Health System to BlueMountain Capital Management in 2016, is on its second round after a deal fell through last December. It’s just one of several distressed healthcare services stories, sad to say. The latest news came the week ending April 10, 2020, as a federal bankruptcy court judge approved the sale of St. Francis Medical Center (344 beds) in Lynnwood, California to Prime Healthcare Services for $262 million and the sale of St. Vincent Medical Center in Los Angeles for $135 million. The buyer... Read More »

Have the Daughters of Charity Made a Deal?

by | Dec 9, 2015 8:00 pm | Hospitals, Private Equity

Don’t hold your breath, but the Daughters of Charity Health System (DCHS) in Los Altos, California may have found a buyer. Sure, the Board chose BlueMountain Capital Management LLC last July, in favor of its well-publicized $250 million offer to keep the struggling system afloat. And we do mean struggling. Through June 30, 2014, DCHS’s five acute-care hospitals made nearly $1.2 billion in total operating income, but a combined loss of $64.0 million in EBITDA. Don’t forget that for-profit hospital company Prime Healthcare Services walked away from its $849 million offer for Daughters back in March, accusing the state’s Attorney General, Kamala Harris, of imposing... Read More »