MUSC wraps up buy of three South Carolina hospitals from LifePoint Well being
The Medical College of South Carolina (MUSC) has finalized the acquisition of three South Carolina group hospitals, a free-standing emergency division and different affiliated doctor practices from LifePoint Well being.
The acquisition was introduced by MUSC in late June and was accomplished on Aug. 1, in keeping with a consultant of the educational well being system.
A report from The Publish and Courier Columbia pegs the deal at $75 million. Representatives of MUSC haven’t but responded to Fierce Healthcare’s request to substantiate this valuation.
“Because the state’s solely complete tutorial well being system, we perceive that we’ve got a accountability to allow higher entry to advanced, high-end care whereas working to facilitate the best-quality native care doable,” David J. Cole, M.D., president of MUSC, mentioned within the preliminary announcement of the deal. “This acquisition will broaden our means to serve better numbers of sufferers, households and communities and that could be a motive to have a good time.”
The deal sees MUSC Well being, MUSC’s medical well being system, take management of KershawHealth in Camden, South Carolina; Windfall Well being and Windfall Well being Northeast in Columbia, South Carolina; and the ER situated in South Carolina’s Fairfield County. Of be aware, KershawHealth has additionally been an affiliate of MUSC Well being since 2015, in keeping with the system.
RELATED: Prisma Well being, LifePoint Well being name off sale of three South Carolina hospitals
Collectively, the services make use of greater than 2,500 devoted employees. Within the June announcement, MUSC mentioned that it was planning to rent all energetic employees “at compensation ranges usually in step with present charges and honest market worth.”
“Our goal is and has at all times been positioning our services for fulfillment in order that we will fulfill our goal of delivering high-quality care near house,” mentioned Terry Gunn, market CEO of Windfall Well being and KershawHealth, in the June announcement. “Aligning Windfall and Kershaw with a preeminent regional tutorial well being system will profit our workers, suppliers and group, giving us new alternatives to vary what’s doable in well being take care of our area.”
Previous to the deal’s shut, MUSC Well being comprised roughly 1,600 beds throughout eight hospitals alongside its physicians’ observe plan, greater than 100 outreach websites and MUSC School of Medication.
MUSC is the state’s second largest healthcare supplier behind Prisma Well being, which additionally had an curiosity in buying Windfall Well being and KershawHealth.
The 18-hospital nonprofit system had introduced its personal acquisition plans again in March 2020 however shortly after confronted courtroom challenges from regulators and a competing native supplier. A decide dominated towards the deal in late 2020 with Prisma Well being submitting unsuccessful appeals by the months to comply with, ultimately main the events to name off the acquisition in early April 2021.
RELATED: LifePoint Well being purchases post-acute companies firm Kindred Healthcare, commits to 3-year, $1.5B funding
Prisma Well being’s scuffed deal and MUSC’s ensuing pickup come at a time of accelerating consolidation and regulatory scrutiny.
On the one hand, experiences from Moody’s Buyers Companies and Kaufman Corridor anticipated a wholesome variety of mergers and regional partnerships as a result of a build-up of dry powder amongst bigger gamers, restricted liquidity amongst smaller techniques and an general curiosity in geographic growth.
On the opposite, President Joe Biden not too long ago issued a sweeping govt order calling on the Justice Division and Federal Commerce Fee to take a better take a look at healthcare mergers “to make sure sufferers usually are not harmed” by elevated consolidation throughout the supplier panorama.
