Community Health Systems has rejected a $2.4 billion buyout offer for its eight Fort Wayne, Ind., hospitals, saying Monday the proposal by physicians and private-equity players came in at least $1 billion lower than what it was worth.
The face of Community Health Systems would change dramatically if the hospital giant accepted a physician-led buyout offer for its eight hospitals in Fort Wayne, Ind. The eight hospitals that make up the Lutheran Health Network generate 15% to 20% of CHS earnings.
A leveraged-buyout group led by physicians in Fort Wayne has made an offer to buy Community Health Systems' eight Indiana hospitals branded as Lutheran Health Network. Fort Wayne is one of CHS' largest regional markets.
Last week's passage of the American Health Care Act by the U.S. House of Representatives has done nothing to spook those investing in hospital stocks. The four largest investor-owned hospital companies are all slightly up since the Obamacare repeal bill was passed.
The University of Kansas Health System and for-profit Ardent Health Services are creating a joint venture company to purchase 378-bed St. Francis Health in Topeka, Kansas. The deal is the sixth such joint venture that Ardent has announced with a not-for-profit academic medical center.
LifePoint Health has gone more than a year since acquiring a hospital, but its earlier shopping spree guided the health system to higher earnings and revenue in the first quarter.
Community Health System CEO Wayne Smith and CFO Larry Cash attained just 13% and 15%, respectively, of their financial and operating targets in 2016.
Community Health Systems' aggressive divestiture and fourth-quarter performance caused its stock to jump 32% in mid-afternoon trading Tuesday. But CHS' rally to around $9 a share is a far cry from the $64.04 stockholders enjoyed in June 2015.
Community Health Systems has agreed to sell eight hospitals to subsidiaries of Steward Health Care in its single biggest divestiture package to date. Three of the hospitals are in Florida, three in Ohio and two in Pennsylvania.
New survey data from the American Hospital Association underscore the wide variation in hospital expenses from state to state and between different types of facilities.
When it comes to provider consolidation, 2016 may well be remembered as the great unraveling.
Iasis Healthcare is making a year-end exit from the Arizona insurance exchanges but not before racking up more big losses on the business. It contributed the largest share of a $76.3 million net loss from continuing operations in the company's fiscal fourth quarter.