Saturday, March 12, 2016
Ascension Wisconsin's Ministry Health Care division has reached a tentative agreement to sell its hospital in Marshfield to the Marshfield Clinic Health System while acquiring full ownership of a medical center near Wausau.
The deal puts the Marshfield Clinic's plans to build a new $175 million hospital in Marshfield on hold, Marshfield Clinic president and CEO Dr. Susan Turney said in a statement. The hospital would have become the community's second.
Milwaukee-based Ministry Health Care and Marshfield Clinic Health System in Marshfield said Friday that the organizations entered into a non-binding memorandum of understanding for the sale of Ministry Saint Joseph’s Hospital in Marshfield and for Ministry to acquire full ownership of The Diagnostic & Treatment Center in Weston from the Marshfield Clinic. Financial details of the preliminary agreement were not disclosed.
Ministry Saint Joseph’s is a tertiary medical center with more than 500 beds serving patients in Wisconsin and Upper Peninsula of Michigan. The Diagnostic & Treatment Center is a joint venture between Marshfield Clinic and Ministry Health Care that provides a variety of medical services for physicians and patients in central Wisconsin.
Marshfield Clinic said the deal will not impact the level of services it provides at its Marshfield Clinic Wausau and Weston centers. The organizations have been discussing how to continue serving the health care needs of the area and those discussions resulted in the agreement. The organizations have begun to develop a transition plan.
“Purchasing Saint Joseph’s Hospital provides (Marshfield Clinic Health System) an opportunity to deliver faster on our commitment to what patients in our communities have come to expect from us – enriching lives through accessible, affordable, compassionate health care,” said Dr. Narayana Murali, chief clinical strategy officer for the health system. “It also allows us to continue to provide state-of-the-art services as a destination for high-quality care, while preserving jobs in the community.”
Turney said the transaction will help preserve jobs and improve health care services in the Marshfield area.
"Taking ownership of the hospital means we can restore services, significantly reduce diversions and maintain jobs that might otherwise leave our community," Turney said. "We anticipate no major disruption in employment for most Saint Joseph’s employees, both during the transition and after the sale."
Marshfield Clinic will evaluate St. Joseph's to determine what upgrades and investment will be required, she said. Until that evaluation is completed, the system will hold off on its plans to build its hospital in Marshfield.
"While we know the community will need an updated, state-of-the-art facility in the near future, acquiring Saint Joseph’s offers new options that should be researched, evaluated and considered," Turney said. "We will keep the community informed of our progress, but it will take time to finalize the sale and our plans."
St. Louis-based Ascension Health recently completed its acquisition of the Glendale-based Wheaton Franciscan Healthcare system, which now joins Ministry and Columbia St. Mary's under the Ascension umbrella. Read more on what the deal will mean for the Milwaukee area.
Source : bizjournals.com
