Sale Agreement Includes Hahnemann University Hospital, St. Christopher’s Hospital for Children and Related Operations
Philadelphia, PA – September 1, 2017 – Tenet Healthcare Corporation (NYSE:THC) and Paladin Healthcare today announced that they have entered into a definitive agreement for the sale of Tenet’s Hahnemann University Hospital, St. Christopher’s Hospital for Children and other related operations in Philadelphia, including Tenet-owned physician practices, to American Academic Health System, LLC (AAHS), a newly formed affiliate of Paladin Healthcare.
The transaction is expected to be completed early next year, subject to regulatory approvals and other closing conditions.
AAHS is a new company formed by Paladin Healthcare to own and operate academic medical centers and general acute care hospitals across the country. Paladin Healthcare currently manages four general acute care hospitals in Southern California and Howard University Hospital, a 145-year-old teaching hospital located on the campus of Howard University in Washington, DC. The company’s focus is on building strong healthcare delivery networks in urban and suburban areas, including some of the nation’s most diverse communities facing challenging healthcare environments.
“Tenet has been delivering quality medical care in Philadelphia for nearly 20 years, and we are strongly committed to securing the best future for Hahnemann and St. Christopher’s,” said Mike Halter, Philadelphia Market CEO for Tenet and CEO of Hahnemann University Hospital. “Paladin shares our commitment to providing compassionate, exemplary care and service, and we believe that entrusting the stewardship of these institutions to its affiliate AAHS will benefit the patients, employees, physicians and community for years to come.”
“We are excited to have been selected by Tenet to acquire Hahnemann and St. Christopher’s, as well as the local physician practices and other hospital-affiliated entities,” said Joel Freedman, Chairman of Paladin Healthcare. “We are committed to sustaining and enhancing the outstanding clinical and academic programs at both hospitals, providing the capital investment they need to thrive, and preserving their long-term future as financially stable healthcare providers and employers. We are pleased to have as our partner Harrison Street Real Estate Capital, LLC, one of the country’s leading real estate investment management f