HCA Holdings is selling its interest in Oklahoma University Medical Center and OUMC Edmond to an affiliate of the University Hospitals Authority and Trust (UHAT) for $750 million, the companies announced Wednesday.
The transaction also includes HCA terminating early its lease of The Children's Hospital at Oklahoma University Medical Center in Oklahoma City as well as an associated joint operating agreement.
In place of HCA, SSM Health and UHAT will share governance and financial responsibility over a newly created healthcare network.
HCA and UHAT will end their relationship in the first half of next year.
In the new network, SSM Health will manage day-to-day operations. Both transactions are subject to approval and are expected to be finalized within the first half of 2017.
“We are excited to open this new chapter with SSM Health,” said Mike Samis, chairman of the UHAT. “We are appreciative to our HCA colleagues for a nearly 20-year relationship, during which we have expanded our range of services and enhanced our quality of care. Now, we look forward to continuing our role in collaboration with the University of Oklahoma and SSM Health.”
HCA Chief Operating Officer Sam Hazen said the relationship is an example of how public and private entities can work together to promote healthy communities.
“For almost 20 years, we have collaborated with our partners at UHAT to provide leading quality care and to enhance the range of services available to the greater Oklahoma City community,” Hazen said.
HCA, the nation's largest investor-owned hospital company, is scheduled to announce its third-quarter earnings Thursday.
In 2015, SSM Health acquired St. Louis University Hospital from Tenet Healthcare Corp. Under the deal, St. Louis University holds a minority stake in SSM Health's St. Louis operations. Tenet Healthcare sold the 356-bed hospital to the university, which then selected SSM Health as a partner.
