Mergers & Acquisitions
Health systems say they are entering negotiations to combine clinical, medical education and research units.
Company's combined strengths would seem a recipe for success, but Optum's parent company could cause concern for hospitals.
Board of Directors unanimously approved the deal, has recommended that Company's stockholders agree to it.
As part of the deal, Presence Health's medical centers, outpatient facilities and other care sites will integrate into AMITA Health.
Envision and WebMD deals are valued at more than $2 billion each; financial terms of Covenant deal were not disclosed.
The hospitals represent 380 beds and 1250 employees; deal is expected to close in first quarter 2018.
If the two organizations were to reach an agreement, it would not take effect until the end of 2020, local report says.
Vendor said it will keep McKesson's Paragon EHR for small hospitals and use its own Sunrise for larger systems.
Division manages 15 community hospitals across the area, operates ten freestanding emergency centers.
Hospital, system leaders need to be prepared for these types of costs and gauge short, long-term financial goals accordingly.