Exempla Healthcares board of directors said it will oppose a deal that would make the Denver health system a wholly owned subsidiary of the Sisters of Charity of Leavenworth Health System, Lenexa, Kan. The Sisters of Charity, Exemplas co-owner, signed a deal to acquire the remaining 50% stake from Arvada, Colo.-based Community First Foundation. Under the deal, the Sisters of Charity will invest $300 million in three-hospital Exempla and pay Community First $311 million.
Exemplas board said in a written statement that it will protest the deal in a letter to Colorados attorney general and urge a careful review of the deal. The board argued that the ownership change will require two of Exemplas three Colorado hospitals543-bed Exempla Lutheran Medical Center, Wheat Ridge, and 172-bed Exempla Good Samaritan Medical Center, Lafayetteto adopt Catholic restrictions on certain care, which will limit services.
The board also disputes a proposed payment to Community First, formerly the LMC Community Foundation. Jeff Selberg, Exempla's president, said the board would like to see $150 million of Community First's payment earmarked for patients at Exempla Lutheran Medical Center who cannot afford care.
Christine Woolsey, a spokeswoman for the Sisters of Charity, said the owners do not expect regulatory objections. We know its going to mean some change, but we really think that the investment and benefit to the community outweigh that change, she said. -- by Melanie Evans