BATTLE CREEK, Mich.—Trinity Health has agreed to sell its 50% stake in Battle Creek (Mich.) Health System to a nearby suitor in a deal that would remove the Roman Catholic status of the 211-bed hospital, according to terms of a letter of intent between the parties. Bronson Healthcare Group, Kalamazoo, Mich., would purchase Trinity's 50% ownership stake in Battle Creek Health System, plus 1% of the stake owned by a community-based organization, to become the operating partner of the combined system. The parties declined to release details of the transaction until they become public record through the regulatory approval process. The deal is expected to close by mid-2011. Trinity Health, Novi, Mich, owns 33 hospitals and manages another 14 under contract. Trinity spokesman Stephen Shivinsky said the idea for a management change, which would remove the religious affiliation of the Battle Creek hospital, evolved out of a long-term planning process for Battle Creek. “We determined that it would be the best thing for the community if the health systems would merge and create a more coordinated system of care in the community,” Shivinsky said. The communities of Battle Creek and Kalamazoo are about 25 miles apart in southwestern Michigan.
Regionals: Trinity Health sells stake in Mich. system and other news
WINFIELD, Ill.—Two suburban Chicago hospitals said they reached a definitive merger agreement. Central DuPage Health, based in Winfield, Ill., and Delnor Health System, in Geneva, Ill., first announced plans to create a parent company in October. The potential partners must notify the Illinois attorney general and Health Facilities and Services Review Board and federal regulators. The deal is expected to close in coming months, the systems said in a news release. No money is changing hands and the governing board will be equally divided, said Central DuPage spokeswoman Amy Jo Steinbruecker. The proposed parent company has yet to be named, she said. Luke McGuinness, president and CEO of Central DuPage, is expected to be named CEO of the parent company. Thomas Wright, president and CEO of Delnor, will be named executive vice president of the parent company.
HUNTLEY, Ill.—Centegra Health System, a two-hospital system that operates in Chicago's northwestern suburbs, announced plans to apply for state permission to build a third acute-care hospital. The system proposes to build a 128-bed, $233 million hospital called Centegra Hospital-Huntley, which would be a 360,000-square-foot facility on land in the village of Huntley, where the system already has an existing healthcare campus for physician and outpatient services, according to a news release. Centegra CEO Michael Eesley said in a news release that the surrounding areas in McHenry and Kane counties are medically underserved. The hospital would include a full-service emergency department and a Level 2 nursery, among other services. The facility will need approval from a state certificate-of-need body that is well-known for being sparse in granting approvals in the Chicago suburbs. The last new hospital approved for construction by what is now called the Illinois Health Facilities and Services Review Board was in November 2004, when the board approved construction of 148-bed Adventist Bolingbrook (Ill.) Hospital during a meeting in which it rejected applications for three other hospital projects.
OVERLAND PARK, Kan.—IPC-The Hospitalist Co., North Hollywood, Calif., announced that it has moved into the Kansas City market with the acquisition of three hospitalist groups practicing under the Overland Park, Kan.-based umbrella organization Hospital Inpatient Management Services. HIMS, whose providers have 140,000 patient encounters annually, consists of Midwest Hospital Specialists, Midwest Hospital Care and Peterson Management, according to a news release. Thomas Simmons, the majority owner of Midwest Hospital Specialists, will continue in his role as practice-group leader, and the head of Peterson Management Co., Sanford Peterson, will hold the newly created title of executive director of the IPC Kansas City region. “The new era of healthcare reform compels groups such as ours to look for like-minded partners who can help us continue to strengthen our capabilities,” Simmons said in the release. IPC acquired geriatric-care provider Senior Care of Colorado, Aurora, in December and in November bought Hospitalists of West Michigan, Grand Rapids, and Las Vegas-based Zenith Hospitalists. Those deals represented expansion of IPC's existing presence in the three states.
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