The board of UNC Health Care, Chapel Hill, N.C., passed a resolution setting up a board committee to study any detailed offer that WakeMed Health & Hospitals, Raleigh, N.C., might make for UNC's Rex Healthcare, also based in Raleigh, according to a UNC news release that included the resolution.
UNC Health Care to study WakeMed offer
WakeMed offered last week to pay $750 million in cash and take on Rex’s debt to acquire the 431-bed hospital.
The UNC Health Care resolution also states that the sale of Rex “would substantially disrupt the business model” that enables treatment of indigent patients and training of physicians. Moreover, after a review of WakeMed’s letter of intent, the board’s preliminary view of the offer is that it is not in the best interests of residents of the state or Wake County, N.C., to sell Rex to WakeMed.
The board is setting up the committee in order to fulfill its fiduciary duties with regard to any concrete offer from WakeMed, according to the resolution.
In a statement, Bill Atkinson, WakeMed's president and CEO, said the acknowledgement that the offer is worth reviewing is a major step forward. The special board committee should not be a "vehicle for delay," Atkinson said.
UNC Health Care and WakeMed have been at odds over WakeMed’s claim that Rex Healthcare is unfairly using taxpayer dollars to fund physician arrangements.
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