HCA Healthcare, Inc. and Steward Health Care announced that HCA Healthcare has signed a formal agreement to acquire the operations of Steward Health Care’s five Utah hospitals. Following the expected closing, HCA Healthcare has also agreed to lease the related real estate from its owner. HCA Healthcare’s Mountain Division, which includes 11 hospitals in Utah, Idaho, and Alaska, will take over the hospitals.
- New operations: In addition to Arizona, Texas, Arkansas, Louisiana, Florida, Ohio, Pennsylvania, and Massachusetts, Steward Health Care operates hospitals in those states. Steward Health Care’s ability to continue growing and reinvesting in other states and areas served by the health system will be boosted by the sale of these sites to HCA Healthcare.
- Improved healthcare: “Utah is one of the fastest-growing areas in the country, and the state’s need for healthcare continues to increase,” said Sam Hazen, chief executive officer of HCA Healthcare. “We believe the addition of these facilities will help us improve healthcare network options for patients and enable investment in services to meet the increasing demand for healthcare. We look forward to welcoming them to the HCA Healthcare family.”
- Contribution: Steward Health Care chairman and CEO Ralph de la Torre commented, “We are very proud of Steward’s significant contributions to the quality and efficiency of operations in these facilities. We are confident that the combination with HCA Healthcare will enable the achievement of cost savings and further improved quality of care for patients in Utah. For Steward, this transaction frees up additional capital to more deliberately invest in its accountable care model (largest in the US and #2 in shared savings for MSSP 2020) by reinvesting in risk-based opportunities and health care expansion.”
- Provider: Nashville-based HCA Healthcare is one of the nation’s largest healthcare providers, with 187 hospitals and about 2,000 ambulatory care locations in 20 states and the United Kingdom, including surgery centers, freestanding ERs, urgent care centers, and physician clinics.
- New model: HCA Healthcare established a new model for hospital care in the United States when it was founded in 1968, combining resources to strengthen hospitals, providing patient-centered care, and improve medical practice. HCA Healthcare has done a number of clinical research, including one that found that full-term birth is healthier for babies than early elective birth, and another that discovered a clinical protocol that can cut bloodstream infections in ICU patients by 44%.