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St. Francis, CHS start talks on proposed transaction

Columbus, Ga.-based St. Francis Hospital  said it has started "exclusive discussions" with a subsidiary of Franklin, Tenn.-based Community Health Systems, which could lead to a full or partial acquisition by CHS, according to a Ledger-Enquirer report.

The hospital, which is currently going through the due diligence process with CHS, said the proposed deal would result in an "infusion of capital investment" while allowing it to keep current medical staff and continue to recruit new physicians, according to the report.

Additionally, St. Francis said, any agreement would ensure the board of trustees remains comprised of the hospital’s medical staff and community leaders.

The news comes days after St. Francis named Kirk Wilson its interim president and CEO. Mr. Wilson replaces former president and CEO of St. Francis, Robert Granger, who resigned this year after leading the hospital for a decade.

The hospital has been struggling with a financial crisis since last fall. It is currently dealing with a $30 million shortfall.

 

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