Tenet Healthcare and Baylor Scott & White Health have signed a definitive agreement to dissolve a joint venture the two Dallas-based health systems finalized two years ago.
Here are four things to know about the agreement.
1. The two health systems finalized a deal in January 2016 to form a joint venture to own five Texas hospitals. Under the definitive agreement announced Thursday, Tenet and Baylor Scott & White will no longer co-own three of the facilities.
2. Baylor Scott & White will acquire Tenet's minority interest in Baylor Scott & White-Centennial in Frisco and Baylor Scott & White Lake Pointe in Rowlett. Baylor Scott & White-Sunnyvale will join Texas Health Ventures Group, a separate joint venture between Tenet's United Surgical Partners International subsidiary and Baylor Scott & White.
3. The parties expect the transactions, which are subject to regulatory approval, to be completed this spring.
4. The restructuring agreement does not apply to the other two hospitals that were part of the original joint venture: Baylor Scott & White-Garland and Baylor Scott & White-White Rock in Dallas. In December, Baylor Scott & White and Tenet reached a definitive agreement to sell the Dallas facility to Pipeline Health, a hospital management company based in Manhattan Beach, Calif. The health systems plan to close the Garland facility Feb. 28.
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