- Trinity Health has struck a definitive agreement to acquire Syracuse, NY-based St. Joseph's Hospital Health Center.
- The hospital chain had previously attempted to acquire the 51-bed hospital in July 2013, but negotiations broke down and the two partners entered into a "strategic affiliation" instead.
- New York is Trinity's fourth largest market, making up 9% of the hospital's revenue last year.
Why now and not in 2013? Probably a couple of reasons. First, according to Trinity spokesperson Eve Pidgeon, Trinity was concentrated on ensuring the success of the mammoth merger with Catholic Health East. "At the time, Trinity Health's focus was its integration with new hospitals, systems and colleagues following its consolidation with Catholic Health East, and the new organization had yet to bring in a permanent CEO or establish a system strategic plan," Pidgeon said. "The decision, and the affiliation agreement, allowed Trinity Health and St. Joseph's to continue working together in a meaningful and strategic manner while we worked through those key processes."
Second, St. Joseph's has been struggling. The hospital recorded an operating loss of $2.7 million on revenue of $579.6 million last year, primarily due to the $19.4 million it cost to implement a new EHR. St. Joseph's also opened a new 72-bed tower last fall.