Community Health Systems, Franklin, Tenn., will sell its stake in a second hospital joint venture that it acquired when it bought Triad Hospitals, Plano, Texas, for $6.97 billion last month, according to the prospective buyer.
Baptist Memorial Health Care, Memphis, Tenn., has signed a letter of intent to acquire Communitys stake in Northeast Arkansas Medical Center, Jonesboro, said David Hogan, Baptist Memorials chief operating officer.
That stake includes the land and hospital building, and a 60% interest in the operating company that runs the hospital, Hogan said.
Northeast Arkansas Clinic, a 125-physician multispecialty group practice, owns the remaining 40% of the operating company. Baptist Memorial also has signed a letter of intent with the clinic, Hogan said. Baptist Memorial is conducting due diligence and hopes to complete the deal in 60 to 90 days, Hogan said.
Hogan was uncertain at deadline whether any regulatory approvals would be needed, although he noted that Arkansas is not a certificate-of-need state. -- by Vince Galloro
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