NASHVILLE, Tenn., July 28 /PRNewswire/ -- Capella Healthcare announced today that a definitive agreement has been reached to buy five hospitals from HCA, Inc.
Necessary regulatory filing and processes are currently being undertaken and a transaction closing date is anticipated for late 2005.
"This is a significant event for Capella Healthcare, and we could not be more pleased with this opportunity at such an early stage in our company history," said Daniel S. Slipkovich, chief executive officer of Capella.
"These hospitals are a terrific platform for the launch and continued growth of our company. They are a perfect fit for our model of acquiring and managing community hospitals in growing mid-size communities across the country."
The hospitals included in the deal are Grandview Medical Center, Jasper, Tenn.; River Park Hospital, McMinnville, Tenn.; Southwestern Medical Center, Lawton, Okla.; Capital Medical Center, Olympia, Wash.; and, North Monroe Medical Center, Monroe, La.
Capella announced earlier that the company had entered into an agreement to sell North Monroe Medical Center to St. Francis Medical Center, also in Monroe.
"It is clear to us that each of these hospitals is a solid provider in their respective communities," added Tom Anderson, president and co-founder of Capella. "Our team is anxious to partner with them moving forward."
This transaction marks the first hospitals in Capella's asset portfolio. Nashville-based Capella was formed earlier this year by four former Province Healthcare executives, Daniel Slipkovich, Tom Anderson, Andrew Slusser, and Sam Moody. It is funded by Chicago-based private equity firm GTCR Golder Rauner (GTCR).
In March 2005, HCA announced plans to divest ten of its 192 hospitals because "the hospitals are located primarily in rural and small urban markets, in contrast to the majority of the Company's remaining hospitals which are located in large urban or suburban market," according to corporate announcements.
Capella Healthcare
Nashville-based Capella Healthcare was founded in 2005, by former hospital company executives with over 100 combined years of management experience with over 200 hospitals in over 30 states. The company seeks to acquire and operate non-urban, general acute care hospitals and partners with communities that are growing or have service needs that are not currently being met. Capella's mission is to provide quality healthcare services in the communities it serves and will provide that healthcare in an affordable and easily accessible manner. The company partners with communities to build strong local healthcare systems. Capella is backed by GTCR Golder Rauner, LLC, one of the nation's leading private equity firms.
Capella HealthcareCONTACT: Dan Slipkovich or Tom Anderson of Capella Healthcare,+1-615-376-9221