Kaiser Permanente Gets Hospital in IE

Thousands of Kaiser Permanente subscribers living in Riverside County are finally going to get a Kaiser hospital. They're going to buy ...

Thousands of Kaiser Permanente subscribers living in Riverside County are finally going to get a Kaiser hospital. They're going to buy Moreno Valley Medical Center from Valley Health System.

According to the Valley Chronicle (link), Select Healthcare, which had tried to buy all three hospitals from VHS, has backed out of its agreement to buy Moreno Valley, which paves the way for Kaiser to buy it...
Cutler said he agreed to allow Kaiser to buy the hospital from VHS for $47.1 million, $14 million of which will go to Select to cover the down payment Select made before the election. Kaiser will also pay $6 million to Select for the purchase option.
Because the sale involves less than 50% of VHS' assets, it does not require a public ballot.

So this means that VHS will be left with two hospitals, one in Hemet and the other in Menifee.

If I'm not mistaken, VHS could then sell off Menifee without requiring a public ballot either, since it would then be less than 50% of total assets. So in end, while voters voted against privatizing VHS' hospitals, it could very well end up that way anyways.

Related

Valley-Health-System 1341349138736641518

Post a Comment