Columbia/HCA Healthcare Corp. last week agreed to buy Alleghany Regional Hospital, a 204-bed not-for-profit facility in Low Moor, Va.
Terms were not disclosed, but proceeds from the sale will establish a not-for-profit foundation with $30 million to $35 million in assets, officials said. Those assets include hospital cash reserves.
The hospital also had been talking to Carilion Health System, a 13-hospital system based in Roanoke, Va.
"What Carilion was offering was a merger, but Carilion ended up in control," said Josh Nemzoff, a Nashville, Tenn.-based consultant who negotiated the deal for Alleghany, a sole community provider about 45 miles north of Roanoke.
Additional developments took place with another of Columbia's proposed acquisitions. In Omaha, the University of Nebraska Medical Center said it will exercise its option to purchase 275-bed Bishop Clarkson Memorial Hospital. The decision could spark a battle for Bishop Clarkson, which has agreed to be purchased by Columbia for $84 million. Medical center officials maintain that a 1953 agreement gives them first rights of refusal on Bishop Clarkson. Columbia and Bishop Clarkson dispute the stipulation.
"This is a golden opportunity, and we need to take advantage of it," said Carol Aschenbrener, the medical center's chancellor. An acquisition must garner approval from the state board of regents.