Colorado Attorney General John Suthers decided that HCA's proposed $1.45 billion buyout of the Colorado Health Foundation's 40% interest in the HealthOne joint venture does not fall under the Colorado Hospital Transfer Act. But his office will conduct two public hearings later this month on the deal, according to a news release. In a letter to a lawyer for the foundation, Deputy Attorney General Geoffrey Blue wrote that the deal does not meet the act's standards because the foundation neither owns a 50% stake in the joint venture nor effectively controls it today.
Late News: Transfer law doesn't apply to HCA buyout: Suthers
The attorney general's office, however, will review the deal under its common-law authority over charitable assets. The public hearings will be conducted Sept. 26 and Sept. 27 at two HealthOne facilities. Critics, including a former HealthOne board member, have urged Suthers to conduct the review under the hospital transfer act to subject the deal to greater scrutiny. HCA Senior Vice President Vic Campbell, speaking at an investors' conference before Suthers announced his plans, said the company expected to close the deal in the fourth quarter. If Suthers approves the deal, Campbell said, Nashville-based HCA would be ready to close the deal the next day.
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