CHICAGO — Prime Healthcare has agreed to acquire nine hospitals and associated physician practices in Illinois, as well as five post-acute and senior living facilities, from St. Louis-based Ascension. The properties are largely located in Chicago and its surrounding suburbs.
The transaction is expected to close in the first quarter of 2025, subject to standard regulatory and canonical approvals, as Ascension is a Catholic health system. The price was not disclosed.
The acquisition includes the following Ascension hospitals:
- Holy Family in Des Plaines
- Ascension Mercy in Aurora
- Ascension Resurrection in Chicago
- Ascension Saint Francis in Evanston
- Ascension Saint Joseph in Joliet
- Ascension Saint Joseph in Elgin
- Ascension Saint Mary in Kankakee
- Ascension Saint Mary and Saint Elizabeth in Chicago
Prime Healthcare also acquired multiple post-acute and senior living facilities operated by Ascension Living: Fox Knoll Village in Aurora; Villa Franciscan Place in Joliet; Heritage Village and Heritage Lodge in Kankakee; and Resurrection Place in Park Ridge.
Prime Healthcare plans to invest $250 million in facility upgrades, capital improvements, technology investments and system upgrades to the properties.
According to Prime Healthcare, the company has all available funding for the renovations. No debt will be put on the hospitals to complete the transaction. Additionally, the buyer has agreed to make offers of employment to substantially all associates.
“Our agreement with Ascension reflects our decades-long mission of saving, improving and investing in community hospitals,” says Sunny Bhatia, president and chief medical officer of Prime Healthcare.
Prime Healthcare is based in Ontario, California. The company’s portfolio currently consists of 44 hospitals and more than 300 outpatient locations across 14 states.
— Channing Hamilton