RegionalCare Hospital Partners has completed its merger with Essent Healthcare. Terms of the deal were not released. The combined company, which operates under the RegionalCare name, now owns seven hospitals across six states. Essent is backed by Vestar Capital Partners and Cressey & Co.
RegionalCare Hospital Partners today announced it has completed its previously announced merger with Essent Healthcare.
The combined company, which will operate under the RegionalCare Hospital Partners name, is now the owner and operator of seven market-leading, non-urban hospitals in six states. The hospitals are in Florence, Ala.; Muscle Shoals, Ala.; Ottumwa, Iowa; Wilmington, Ohio; Sharon, Conn.; Waynesburg, Penn., and Paris, Texas. Terms of the deal were not disclosed.
“We are very excited to complete this merger with Essent Healthcare,” said Martin S. Rash, Chairman and CEO of RegionalCare. “The synergy of the combined organizations will provide the kind of size and strength needed in today’s ever changing healthcare environment. The two companies shared so many common systems and processes that we expect the transition will be seamless to our patients.”
As part of the merger agreement, RegionalCare has committed to continue the campus consolidation plans recently initiated in Paris; maintain the commitment to physician recruiting and retention; and make appropriate capital investments at the individual hospitals. In the merged organization, RegionalCare will retain all employees in good standing and keep the hospital management teams and local hospital boards in place. Mr. Rash will continue to serve as RegionalCare’s Chairman and CEO.
“We began reviewing potential merger partners several months ago. It became apparent that RegionalCare was the right fit with Essent Healthcare,” said Essent Chief Executive Officer Michael W. Browder. “Their culture, commitment to quality, and desire to increase the level and range of services available locally is right in line with our goals. I am confident that the new merged organization will raise the level of service to the seven communities we serve.”
# # #
About RegionalCare Hospital Partners
RegionalCare Hospital Partners was founded in 2009 with a $300 million investment from Warburg Pincus. With a commitment to high quality care and compassionate service, RegionalCare has quickly grown to a seven-hospital system. RegionalCare Hospital Partners merged with Essent Healthcare in 2011. More information can be found at www.regionalcare.net.
About Essent Healthcare
Essent Healthcare was founded in 1999 with the mission of acquiring community hospitals and providing them with the financial resources and expertise needed to grow. Essent Healthcare is a portfolio company of Vestar Capital Partners and Cressey & Co.