Operations include Rockledge Hospital, Melbourne Hospital, Sebastian Hospital and Associated Steward Medical Group Practices in Northern Florida
Steward Health Care (“Steward” or the “Company”), the country’s largest physician-led, minority-owned, integrated health care system, today announced that it has entered into a binding asset purchase agreement to sell its Northern Florida operations, comprised of Rockledge Regional Medical Center, Melbourne Regional Medical Center, Sebastian River Medical Center, and Steward Medical Group Practices in Northern Florida, to Orlando Health, a private, not-for-profit healthcare organization serving the Southeastern United States and Puerto Rico. Orlando Health’s qualified bid has been designated as the stalking horse and, subject to the terms of the agreement, Orlando Health’s bid will be subject to higher or better qualified bids received by August 26th, 2024, at which time a bankruptcy court-approved auction may occur.
“The emergence of Orlando Health, a premier health system with extensive operations in and around Florida, as the leading qualified bid committed to purchasing these assets reinforces the attractiveness of these best-in-class assets,” said Mark Rich, President of Steward Health Care. “We look forward to reviewing any additional bids that are received between now and August 26th, and are encouraged by Orlando Health’s vote of confidence in our Northern Florida operations.”
Orlando Health is a 3,487-bed system that includes 17 hospitals, 10 free-standing emergency rooms and 9 Hospital Care at Home programs, with additional facilities under development. In addition, the system also includes skilled nursing facilities, an in-patient behavioral health facility under the management of Acadia Healthcare, and more than 375 outpatient facilities that include physician clinics, imaging and laboratory services, wound care centers, home healthcare services in partnership with LHC Group, and urgent care centers in partnership with CareSpot Urgent Care. More than 4,950 physicians, representing more than 100 medical specialties and subspecialties have privileges across the Orlando Health system, which employs more than 29,000 team members and more than 1,500 physicians.
The transaction is subject to customary closing conditions, including Bankruptcy Court and regulatory approval, and is expected to close in the Q4 2024 should Orlando Health emerge as the winning buyer at the auction.
Steward is represented by Weil, Gotshal & Manges LLP (Restructuring Counsel), McDermott Will & Emery (Regulatory Counsel), Leerink Partners LLC (Healthcare Investment Banker), and AlixPartners, LLP (Financial Advisor).
About Steward Health Care
Over a decade ago, Steward Health Care System emerged as a different kind of health care company designed to usher in a new era of wellness. One that provides our patients better, more proactive care at a sustainable cost, our providers unrivaled coordination of care, and our communities greater prosperity and stability.
As the country’s largest physician-led, minority-owned, integrated health care system, our doctors can be certain that we share their interests and those of their patients. Together we are on a mission to revolutionize the way health care is delivered - creating healthier lives, thriving communities and a better world.
Based in Dallas, Steward currently operates more than 30 hospitals across Arizona, Ohio, Pennsylvania, Arkansas, Florida, Louisiana, Texas, and Massachusetts.
Additional information is available at www.steward.org
View source version on businesswire.com: https://www.businesswire.com/news/home/20240814426335/en/
Contacts
Media
Josephine Martin
josephine.martin@steward.org
