Through the joint venture, Baptist Health’s four hospitals and Brookwood would join together to form a new organization with 1,700 licensed beds, 7,300 employees and roughly 1,500 affiliated physicians.
“A primary reason to enter into a partnership with Tenet is its track record partnering with and growing faith-based institutions and allowing them to continue operating with a faith-based mission and focus,” said Keith Parrot, CEO of Baptist Health. “At the same time, Tenet can offer resources such as sustainable access to capital, a strong history of operating well-run hospitals and access to its existing purchasing contracts.”
CEO of Tenet’s southern region Garry Gause shared Mr. Parrot’s enthusiasm about the potential transaction. “This proposed partnership offers the opportunity to improve healthcare delivery to communities throughout central Alabama while preserving the remarkable legacies of Baptist Health System and BrookwoodMedicalCenter,” he said.
With the letter of intent signed, the organizations will go through a due diligence period, with the intention of signing a definitive agreement. Once a final agreement is reached, the joint venture could be formed as early as next spring.
More articles on healthcare industry transactions:
18 lawmakers want Prime blocked from acquiring 6 California hospitals
5 healthcare transactions with the highest price tags in 2014
6 recent hospital transactions and partnerships
Becker’s 3rd Annual Fall Chief Pharmacy Officer Summit is the top tier event that the people leading the future of pharmacy convene. This 3-day event is built specifically for Chief Pharmacy Officers and senior pharmacy leaders. The sessions examine the workforce, financial and clinical priorities shaping pharmacy today. Becker’s is where candid discussions flourish and new ideas thrive. Becker's 3rd Annual Fall Chief Pharmacy Officer Summit
