Community Health Systems
and Cleveland Clinic
are in talks to become joint owners of Akron (Ohio) General Health System.
The deal would be the companies' first foray into running facilities together. Community, a for-profit chain based in Franklin, Tenn., made news in March with an unusual strategic partnership focusing on quality initiatives
Under the pending deal in Ohio, the companies would form a new limited-liability company to buy 474-bed Akron General Medical Center, 38-bed Edwin Shaw Rehabilitation Hospital in Cuyahoga Falls, Ohio, and 25-bed Lodi (Ohio) Community Hospital.
Other deals may be in the cards as well, according to Community Chairman, President and CEO Wayne Smith. “Our relationship also has garnered interest from other organizations that recognize a unique opportunity to benefit from the compelling collaboration between two healthcare providers that bring together clinical expertise, capital resources, operational experience and innovation,” Smith said in a news release.
Last year, Akron General Health System reported an operating loss of $12.7 million on $616.3 million in revenue.
One of its major competitors, Akron-based Summa Health System, reached a tentative deal with Catholic Health Partners
in February that would give the Cincinnati-based system a minority stake in Summa.