Duke LifePoint Signs Definitive Agreement to Acquire Conemaugh Health System
Published By: Duke LifePoint Healthcare • 08/21/2014 11:31 AM
Johnstown, Pa. – Duke LifePoint Healthcare announced today that it has signed a definitive agreement to acquire Conemaugh Health System.
The financial terms of the agreement exceed $500 million and include a commitment by Duke LifePoint to invest $425 million in Conemaugh’s services and facilities over the next 10 years, which will enable West Central Pennsylvania’s largest health system to continue to grow and meet the evolving needs of its communities for generations to come.
Under the terms of the agreement, Duke LifePoint will acquire Conemaugh Health System’s three hospitals, outpatient centers and Conemaugh Physician Group practices. Proceeds remaining from the transaction will be used by a locally governed charitable foundation to fund future programs to meet community needs.
Under the agreement, Duke LifePoint will offer employment to all Conemaugh Health System employees and will work with Conemaugh leaders to establish a local board of trustees that includes members of the local community, local physicians and a representative from Duke.
Subject to the satisfaction of closing conditions set forth in the definitive agreement, the transaction is expected to be completed by the first of September.
About Duke LifePoint
Duke LifePoint Healthcare, a joint venture of Duke University Health System, Inc. and LifePoint Health® (NASDAQ: LPNT), was established to build a dynamic network of hospitals and health care providers. The joint venture, which brings together LifePoint's experience in community-based hospital management and Duke's world-renowned leadership in clinical service, is strengthening and improving health care delivery by providing community hospitals the clinical, quality and operational resources they need to grow and prosper.