CHS to divest 2 Arkansas hospitals

Franklin, Tenn.-based Community Health Systems has entered into a definitive agreement to sell two Arkansas hospitals to Little Rock, Ark.-based Baptist Health.

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Under the deal, CHS will sell 492-bed Sparks Regional Medical Center in Fort Smith and 103-bed Sparks Medical Center in Van Buren to Baptist Health. The two Arkansas hospitals are among a group of facilities with combined revenue of $2 billion CHS intends to sell. CHS will use the proceeds from the transactions to reduce its long-term debt load, which totaled $13.86 billion as of March 31.

The transaction, which is subject to customary regulatory approvals, is slated to close in the fourth quarter of 2018.

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