Tower Health is selling eight urgent care centers to American Family Care and closing five locations in Pennsylvania, effective Oct. 1.
Financial details of the transaction with Birmingham, Alabama-based American Family Care were not disclosed. Tower said there are no planned layoffs, and American Family Care, which operates more than 200 urgent care centers in 26 states, is expected to offer jobs to as many affected employees as possible.
The sale and closings will leave West Reading, Pennsylvania-based Tower with nine urgent care centers.
"This decision, while difficult, is an important step forward in our journey to right-size Tower Health and to concentrate on our new focused service area in Berks, northern Chester and western Montgomery counties, as well as St. Christopher’s Hospital for Children [in Philadelphia]," Tower Health said in a statement.
Tower is adjusting its physical footprint in response to ongoing financial challenges. It reported a $142 million operating loss for its fiscal 2023, ended June 30. Tower also plans to sell Brandywine Hospital in Coatesville, which closed in early 2022, to Penn Medicine in a transaction expected to close in December. Last year, Tower sold Jennersville Hospital in West Grove to ChristianaCare after closing it in late 2021.