Tucson, Ariz., is less than two hours south of Phoenix, but the cities have not overlapped on healthcare. That separation began to dissolve last month, however, when Banner Health, which owns 12 hospitals in greater Phoenix, signed a $1 billion deal to buy the University of Arizona Health Network, whose two hospitals are major players in Tucson.
Last week, another deal was announced that would link the two cities. Ascension Health, headquartered in St. Louis, said it plans to transfer part of its ownership in Tucson-based Carondelet Health Network into an unusual three-way joint venture that includes Tenet Healthcare Corp. and Dignity Health.
Carondelet, which will retain its Catholic identity under the deal, includes 449-bed St. Joseph's and 429-bed St. Mary's hospitals, both in Tucson, as well as 56-bed Holy Cross Hospital in Nogales, the Carondelet Medical Group, the Carondelet Specialist Group and ancillary businesses.