University of Maryland Medical System, CHI Expect to Close Acquisition Dec. 1
University of Maryland Medical System in Baltimore expects to complete its acquisition of St. Joseph Medical Center in Towson, Md., Dec. 1, according to a Baltimore Business Journal report.
In March, UMMS agreed to acquire St. Joseph from Englewood, Colo.-based Catholic Health Initiatives. St. Joseph recommended UMMS as a partner when CHI was reviewing finalists to partner with the medical center. During negotiations, UMMS shared plans to turn St. Joseph into a surgery center.
If the deal receives regulatory approval, a new organization — the University of Maryland St. Joseph Medical Center — will take over all hospital operations. According to the report, Francis Kelly, former Maryland state senator and longtime UMMS board member, will serve as chairman of the new organization.
The proposed deal is an asset acquisition, which means UMMS will not take on responsibility for any lawsuits against St. Joseph or CHI. According to the report, a new organization was established for this reason.
Details on future changes to medical services will not be worked out until next year, and UMMS does not anticipate any layoffs will result from the transition, according to the report.
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