Health system ends deal with public company
A health system has ended its planned joint venture with a publicly traded hospital company.
Metro Health in Wyoming "will not be closing" on its "planned affiliation" with Franklin, Tenn.-based Community Health Systems, or CHS, (NYSE: CYH) after nearly two years of work, according to a written statement yesterday by Doyle Hayes, chairman, Metro Health Board of Directors.
“At each step in the process, both organizations committed to finding the right fit for patients, employees, physicians and the local community,” Hayes said in the statement. “While each organization worked hard to make the transaction possible, we have not been able to agree on some important details.
“Metro Health remains committed to serving patients in West Michigan with the high quality care they expect and deserve. We want to thank all of the employees, local community members and government officials who helped with this project.”
Metro Health is not able to provide additional information at this time.
Metro Health announced back in September 2013 its intentions to pursue negotiations on a joint venture with CHS after the health system began searching for a strategic partner in 2012.
The board approved a definitive agreement for an 80 percent equity sale with subsidiaries of CHS in January 2015 after completing its due diligence process.
The definitive agreement was under review by the Michigan Department of Attorney General as part of the legal process for nonprofit mergers or sales in the state.
As part of the process, the attorney general’s office hosted a public forum on April 23 in Wyoming, at 2225 Main St. NW, to provide the public information on the planned sale. The public forum also allowed the community to comment and submit questions on the deal.