Atlantic Health System announced plans to acquire another New Jersey hospital weeks after it closed on a deal for Chilton Hospital.
The Morristown, N.J.-based system said it will acquire 111-bed Hackettstown (N.J.) Regional Medical Center from Adventist HealthCare, a five-hospital system based in Gaithersburg, Md. The deal, which is subject to regulatory approval, would give Atlantic Health five hospitals, and Adventist would exit the state of New Jersey.
Hackettstown would gain greater access to a regional health information network and specialty care, Atlantic Health and Hackettstown Regional officials said in a news release.
“Joining the Atlantic Health System family will give the Hackettstown community access to more specialists and services throughout the system, from cardiovascular to neonatal, to oncology, neuroscience and more,” said Jason Coe, president of Hackettstown Regional Medical Center.
Financial terms were not disclosed. Hackettstown Regional would be the second hospital with thin operating margins added to Atlantic Health's balance sheet in a short period.
Last month, Atlantic Health completed its acquisition of Chilton Hospital in Pompton Plains, N.J., which reported an operating income of
$2.8 million on revenue of $168 million in fiscal 2012, the most recent data available.
Hackettstown Regional ended 2012 with operating income of roughly $906,000 on revenue of $89.8 million, Adventist financial statements show.
Atlantic Health's deals add to a steady stream of mergers and acquisitions by hospital operators, including Community Health Systems' deal for Health Management Associates and other giant unions such as Tenet Healthcare Corp.'s acquisition of Vanguard Health Systems and the merger of Catholic Health East and Trinity Health last year. Follow Melanie Evans on Twitter: @MHmevans