Sponsored by VMG Health | info@vmghealth.com | 214.369.4888

Bankrupt Miami hospital fetches $30M bid

The Miami Medical Center filed for Chapter 11 bankruptcy protection in March, and the 67-bed hospital was recently sold in auction.

Leawood, Kan.-based Nueterra, along with its partners, acquired Miami Medical Center in 2014 and invested $70 million in the facility. Children's Health Ventures, the for-profit arm of Miami-based Nicklaus Children's Hospital, invested in Miami Medical Center with hopes of bringing a unique care model to South Florida. However, the Miami Medical Center struggled to stay afloat.

The hospital suspended patient services Oct. 30, 2017, and subsequently laid off its 180 employees. It filed for bankruptcy protection March 9, 2018.

Earlier this month, Miami Medical Center was sold in auction. The hospital received one $30 million credit bid from Variety Children's Hospital in Miami, an affiliate of Nicklaus Children's Hospital. The bid was based on the amount the hospital owed Nicklaus Children's Hospital, according to the South Florida Business Journal.

Under the deal, which a bankruptcy judge approved June 25, Variety Children's Hospital will contribute $1.8 million to the debtor's estate to be divided between Miami Medical Center's other creditors.

Variety Children's Hospital has not disclosed when it intends to reopen the facility.

More articles on healthcare industry transactions:

Advocate Aurora Health co-CEOs on the next steps for the newly combined system
Walgreens, Humana partner for Medicare primary care clinics
Cardinal Health sells majority stake in naviHealth

© Copyright ASC COMMUNICATIONS 2019. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 

Top 40 Articles from the Past 6 Months