The parties entered into a definitive agreement for Prime to acquire St. Joseph Mercy Port Huron in November 2014. Under the agreement, Prime agreed to make $20 million in capital improvements at the hospital over a three-year period.
The hospital is facing a number of challenges, including local competition and operating in an area with a declining population. The sale to Prime will allow the hospital to continue to operate, pay off debts and obtain financing for improvements, according to the report.
Michigan Attorney General Bill Schuette said the hospital will be monitored by an independent firm for the next five years to ensure Prime meets the requirements of the sale agreement, including making $20 million in improvements at the hospital.
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