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Cleveland Clinic to take over Florida hospital

Leaders of Vero Beach, Fla.-based Indian River Medical Center selected Cleveland Clinic to assume control of the county-owned hospital Tuesday, according to TCPalm.

Here are four things to know about the selection.

1. The IRMC board of directors and the Indian River County Hospital District board met separately Tuesday to select one of four finalists. IRMC directors unanimously voted for Cleveland Clinic, while hospital district trustees voted for the health system in a 4-3 vote, according to the report.

IRMC Board Chairman Wayne Hockmeyer, PhD, said Cleveland Clinic "empahsize[d] the patient is their North Star. It's all about the patient. That is very consistent with this board's objective."

2. Cleveland Clinic was one of four health systems to place a bid for the contract, offering $302 million to $352 million. The three other finalists included Altamonte Springs, Fla.-based Adventist Health System with a $402 million to $427 million bid, Orlando (Fla.) Health with a $302 million bid and Nashville, Tenn.-based HCA Healthcare with a $461 million bid.

3. Cleveland Clinic's proposal included the retention of all IRMC employees and current services, and proposed the continuation of tax support from the district to the hospital.

4. IRMC officials expect to negotiate and sign a letter of intent with Cleveland Clinic within the next several months, and expect to close the deal in August.

Editor's note: This article was updated Jan. 31.

More articles on transactions and valuations:
Ardent close to finalizing operating agreement with Texas health system
Kaufman Hall: 5 notable healthcare transactions in 2017
HCA ups bid to take over Florida hospital to $461M

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