Community Health Systems Completes HMA Purchase
FRANKLIN, Tenn.-- Community Health Systems Inc. announced this morning that it has completed its previously announced acquisition of Health Management Associates Inc.
Locally, CHS owns ValleyCare Health System of Ohio. Its Mahoning Valley operations include Northside Medical Center in Youngstown, Trumbull Memorial Hospital in Warren and Hillside Rehabilitation Hospital in Howland.
“We are very pleased to complete this important strategic acquisition and welcome our newly affiliated hospitals and their physicians and employees to our organization,” Wayne T. Smith, CHS chairman and CEO, said in a prepared statement. “This transaction provides us with increased scale and broader geographic reach as we work to create strong health-care networks across the nation. Our larger organization is well positioned to address the changing dynamics in our industry and dedicated to providing quality care for millions of patients and all the communities we serve. We look forward to effectively integrating this acquisition and generating significant value for our shareholders.”
Effective today, HMA will cease trading on the New York Stock Exchange. HMA shareholders will receive $10.50 per share in cash plus 0.06942 shares of CHS common stock for each HMA share they own. HMA shareholders will also receive one Contingent Value Right for each HMA share they own, which could yield additional cash consideration of up to $1 per share, depending on the outcome of certain matters described in HMA’s public filings under the “Legal Proceedings” section.
Through its affiliates, Community Health Systems now owns, leases or operates 206 hospitals in 29 states. The organization’s affiliates employ more than 135,000 people and approximately 27,000 physicians serve on the medical staffs of CHS-affiliated hospitals. CHS’s headquarters will remain in the Nashville, Tenn., suburb of Franklin.
Source: Community Health Systems Inc.
Published by The Business Journal, Youngstown, Ohio.
CLICK HERE to subscribe to our twice-monthly print edition and to our free daily email headlines.