Here are four things to know:
1. Bridgeport (Conn.) Hospital — part of Yale New Haven Health — inked a letter of intent earlier this summer to acquire Milford (Conn.) Hospital. Last week, the boards of trustees of both hospitals agreed to pursue the acquisition agreement.
2. The organizations have signed an asset purchase agreement and will file for regulatory review of the transaction as the acquisition process continues. Under the agreement, all current Milford Hospital employees will become Bridgeport Hospital employees.
3. Milford Hospital will continue to operate as an independent institution until the acquisition agreement is complete.
4. Milford Hospital developed a collaborative relationship with Yale New Haven Health and Bridgeport Hospital in 2014 to support the organizations’ respective inpatient rehabilitation units. Officials said the need for a broader relationship became more apparent as hospitals and health systems nationwide continue to be challenged by low reimbursement rates and other difficulties.
Editor’s note: This article was updated Oct. 1 at 12:52 p.m. to clarify Milford Hospital would be the system’s sixth member hospital.
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