The board approved the agreement at its weekly meeting Dec. 1.
Sitka Community Hospital CEO Rob Allen said the biggest benefit of aligning with the consortium is stability. He said a potential merger with Mt. Edgecumbe is just one option the hospital is considering. Sitka Community Hospital has been facing financial and operational challenges for years, according to the article.
Healthcare consulting firm ECG drafted the letter of intent agreement. The firm evaluated the hospital’s situation over the course of several months and recommended a potential integration plan with the consortium in September.
The Sitka legislative assembly will decide whether the hospital can proceed with the transaction, according to the article.
More articles on transactions and valuations:
Envision Healthcare acquires Alabama neonatal clinic
Family Care Partners to acquire Wagener Medical Center
Alabama medical center sells for $4M
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