Prime Healthcare to purchase Ascension health hospitals, facilities
Prime Healthcare has entered into a purchase agreement with Ascension health system for the sale of Illinois-based hospitals, associated physician practices, post-acute and senior living facilities.
Upon completion, the acquisition will be the largest in the history of Prime Healthcare and the Prime Healthcare Foundation, a nonprofit public charity.
Prime Healthcare began in the High Desert, where Dr. Prem Reddy built his flagship facility, Desert Valley Hospital in Victorville in 1994.
Ascension selected Prime Healthcare to steward its hospitals and care sites into the future after thorough due diligence, a values compatibility assessment, and an ethics discernment process, Prime Health officials stated.
The purchase agreement includes the following Ascension Illinois hospitals:
- Ascension Holy Family (Des Plaines)
- Ascension Mercy (Aurora)
- Ascension Resurrection (Chicago)
- Ascension Saint Francis (Evanston)
- Ascension Saint Joseph (Joliet)
- Ascension Saint Joseph (Elgin)
- Ascension Saint Mary (Kankakee)
- Ascension Saint Mary and Saint Elizabeth (Chicago)
The transaction also includes the following post-acute and senior living facilities currently operated by Ascension Living:
- Fox Knoll Village (Aurora)
- Villa Franciscan Place (Joliet)
- Heritage Village and Heritage Lodge (Kankakee)
- Resurrection Place (Park Ridge)
The transaction is expected to close within the first quarter of 2025, subject to standard regulatory and canonical approvals. Until that time, Prime Healthcare and the included Ascension Illinois facilities will continue to operate independently under a consulting agreement between the two organizations to ensure stability and continued exceptional patient care.
The acquired hospitals and senior living facilities will join Prime Healthcare’s award-winning national health system that currently includes 44 hospitals, more than 300 outpatient locations, and nearly 45,000 employees and affiliated physicians.
With this acquisition, Prime Healthcare will have expanded its presence to the third largest metropolitan area in the U.S. Prime already has facilities in the New York/New Jersey area and Los Angeles.
“Ascension Illinois has been committed to our Mission of serving all persons, with special attention to those who are most vulnerable. Prime Healthcare’s Mission and commitment to quality and health equity will carry on this legacy, ensuring that the greater Chicago area has sustainable, quality healthcare access long into the future,” said Polly Davenport, CEO of Ascension Illinois. “We are confident that Prime will continue its record of excellence and look forward to working in partnership through the sale close process.”
Prime Healthcare investment
As part of the acquisition, Prime Healthcare is committed to investing $250 million in facility upgrades, capital improvements, substantial technology investments and system upgrades, the organization said.
Prime Healthcare has all available funding, and no debt will be put on the hospitals to complete this transaction. Additionally, Prime has agreed to make offers of employment to substantially all associates.
Prime will continue and expand services based on community needs and will continue charity care and community benefit programs, preserving the facilities’ roles as valued community partners.
“Our agreement with Ascension reflects our decades-long mission of saving, improving, and investing in community hospitals and we are excited to bring these Ascension Illinois facilities into our Prime Healthcare family, preserving our shared values and mutual commitment to patient-centered care,” said President and Chief Medical Officer of Prime Healthcare Dr. Sunny Bhatia. “Like Ascension, Prime Healthcare has a strong tradition of ensuring health equity and social responsibility. This transaction will enable a continuation of this tradition and expand our dedication to compassionate care, quality, and service to patients and the greater Chicago community.”
To learn more about Prime Healthcare, visit primehealthcare.com, and for Ascension, visit ascension.org.
Daily Press reporter Rene Ray De La Cruz may be reached at [email protected]. Follow him on X @DP_ReneDeLaCruz
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