San Angelo, Texas-based Shannon Health System has signed an asset purchase agreement to acquire Big Spring, Texas-based Scenic Mountain Medical Center from subsidiaries of Brentwood, Tenn.-based Quorum Health.
The agreement comes after Shannon purchased West Texas Medical Plaza in 2024, where Scenic Mountain Medical Group is located, according to a joint Jan. 9 news release. If finalized, Scenic Mountain Medical Center will become part of Shannon’s regional system, which includes three hospitals, 25 clinic locations and more than 400 providers in West Texas.
Scenic Mountain Medical Center is a 146-bed community hospital. Its CEO, Mallik Chowdary Yenigella, said in the release that joining Shannon is a natural fit, “as the locally owned organization has deep regional roots and shares our commitment to advancing care in the Big Spring area.”
“This transition strengthens our ability to continue supporting the healthcare needs in Big Spring,” Mr. Yenigella said. “We share the same mission and values with Shannon and we’re encouraged by their additional commitment to the community we all love.”
Plans include remodeling urology and other departments, creating a new urgent care clinic for walk-in care and installing imaging and mammography equipment to expand diagnostic capabilities.
The deal is expected to be completed in the coming months, the release said.