North Shore-Long Island Jewish Health System has won state approval to acquire Peconic Bay Medical Center, one of the latest targets of the system's ambitious push to expand its market and diversify.
The deal will add the 200-bed center to North Shore-LIJ's 20 hospitals, two of which were acquired in January. The Great Neck, N.Y.-based system also announced a partnership this month with a Brooklyn hospital. The acute-care acquisitions are just a few of North Shore's deals in recent years, which have added behavioral health, long-term care and retail services to its operations.
The health system expanded into insurance in 2013 by launching its own health plan. That year, the system also brokered a deal with CVS Caremark's retail clinic operations, and in 2014 reached a pair of agreements to develop ambulatory surgery centers and 50 urgent-care locations. Other recent deals made North Shore-LIJ a partner in medical instrument sterilization, information technology, emergency medical helicopter services and the development of cancer therapeutics.
Peconic Bay Medical Center, in Riverhead, N.Y., is in a growing county and near North Shore-LIJ's Huntington (N.Y.) Hospital and Southside Hospital, in Bay Shore, N.Y. It expands the system's geographic reach, said North Shore-LIJ CEO Michael Dowling.
The system will now work to develop its ambulatory services near the newly acquired hospital and may invest to expand its cardiac services, Dowling said. “The hospital is a good anchor.”
Some Peconic Bay Medical Center services may be moved into ambulatory settings as executives consider new options, he said. That has been the case elsewhere in and across the system, he said. Other services, such as cardiac care and oncology, have been consolidated in other hospitals.
The Peconic Bay Medical Center deal also cleared review by the Federal Trade Commission.
