Duke LifePoint to Acquire Conemaugh Health System

Brentwood, Tenn.-based Duke LifePoint Healthcare has signed a letter of intent to acquire Conemaugh Health System in Johnstown, Pa., giving the system its first presence in Pennsylvania.

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DukeLifePointDuke LifePoint, a joint venture between nonprofit Duke University Health System in Durham, N.C., and for-profit LifePoint Hospitals in Brentwood, would pump more than $500 million into Conemaugh during the next decade as part of the deal. The acquisition would include all three of Conemaugh’s hospitals, as well as its outpatient centers and physician practices.

Conemaugh executives had been reviewing possible health system affiliations for the past several months. Conemaugh initially revealed it had sent out a request for proposals to find a larger partner this past November.

Both organizations will go through due diligence before reaching a definitive agreement. Executives said they expect the transaction to close this fall, pending review from state and federal regulatory agencies. Duke LifePoint and Conemaugh have also created a new website to keep the public informed of the latest developments.

Earlier this month, Duke LifePoint and Wilson (N.C.) Medical Center finalized their joint venture. If the Conemaugh deal and other pending acquisitions are approved, Duke LifePoint would oversee 11 acute-care hospitals.

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