St. David's HealthCare, Austin, Texas, has completed its acquisition of 58-bed Heart Hospital of Austin for $83.8 million from MedCath Corp., Charlotte, N.C., according to a news release. St. David's is a joint venture owned by investor-owned HCA, Nashville, and two tax-exempt partners, the St. David's Foundation, Austin, and Georgetown (Texas) Health Foundation.
St. David's completes heart hospital deal
The deal was first announced in February. At the end of 2009, St. David's HealthCare acquired Austin Heart, a cardiology practice that owned a stake in the hospital. MedCath owned 70.9% of the hospital, with physician investors owning the remaining 29.1% stake.
The sale leaves MedCath with six heart hospitals. In March, the company announced that it was reviewing its strategic alternatives. MedCath completed sales agreements for its stakes in heart hospitals in Phoenix and Sioux Falls, S.D., on Oct. 1, according to the company. Analysts expect MedCath to sell its remaining hospitals to liquidate the company.
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