FREMONT, OHIO—Memorial Hospital announced that it signed a letter of intent to affiliate with ProMedica health system.
Terms of the transaction are expected to be worked out over the next 90 days or so, according to the release from the not-for-profit hospital, which has 102-beds and is about 30 miles southeast of Toledo, Ohio, where eight-hospital ProMedica is based. Not-for-profit ProMedica recently lost what likely will be the first round in an ongoing battle with the Federal Trade Commission, which is seeking to undo ProMedica's 2010 purchase of 198-bed St. Luke's Hospital, Maumee, Ohio. ProMedica last week formally appealed the decision of an FTC administrative law judge for review by the commissioners. Fiscal 2011 was the fourth straight year that Memorial has had a positive operating margin, according to the release.
ARLINGTON HEIGHTS, Ill.—Ascension Health said it sealed the final details in its acquisition of three-hospital Alexian Brothers Health System, making Alexian a part of the country's largest Catholic healthcare provider effective Jan. 1. Alexian's board began searching for a partner more than two years ago, “recognizing the challenges facing hospitals around the country and the imminent demands of healthcare reform,” the Illinois system said in a news release. The parties announced their intentions in April and signed a definitive agreement in September. The deal calls for St. Louis-based Ascension to commit as much as $645 million to Alexian, including assumption of debt and contributions to capital projects under way, according to documents filed with the Illinois Health Facilities and Services Review Board.
Alexian includes three hospitals in Chicago's northwest suburbs: 365-bed Alexian Brothers Medical Center in Elk Grove Village, and 255-bed St. Alexius Medical Center and its neighboring 141-bed Alexian Brothers Behavioral Health Hospital, both in Hoffman Estates. The system last month promoted Mark Frey as president and CEO from executive vice president. Frey is the first layperson in that role, taking over for Brother Thomas Keusenkothen. Another national Catholic provider, meanwhile, is gaining a presence in the Chicago market. Novi, Mich.-based Trinity Health, which in 2011 acquired Loyola University Health System in Maywood, Ill., now plans to acquire Mercy Hospital & Medical Center in Chicago. Documents newly filed with the planning board indicate Trinity would commit at least $140 million over five years toward supporting the operations and facilities of the 290-bed hospital.
