ChristianaCare to buy Crozer Health in major Pennsylvania expansion bid first appeared in the Philadelphia Business Journal.
ChistianaCare has signed a letter of intent to acquire Crozer Health from Prospect Medical Holdings.
The deal, if consummated, will expand the Delaware-based health system's Pennsylvania footprint in a big way. ChristianaCare already has a presence in Delaware County with its Concord Health Center, which opened in Chadds Ford in 2014.
"Our mission statement starts with we serve our neighbors, and the folks who live in Delco are our neighbors," Dr. Janice Nevin, ChristianaCare's CEO, told the Business Journal. "We think [the proposed acquisition] will result in more equitable access to care and better health for the residents of Delaware County. … We welcome this opportunity to explore a closer relationship with an organization that shares our commitment to value and service to the community."
Nevin said ChristianaCare got involved in discussions about Crozer Health several months ago after Prospect Medical issued a request for proposals from parties interested in the Delaware County health system last year.
The agreement covers Crozer's four hospitals along with related businesses, real estate assets, Crozer Health Medical Group and its associated assets, plus the health system's ambulatory centers, medical office buildings, physician clinics and ancillary outpatient services.
Crozer Health is the parent company for Crozer-Chester Medical Center in Upland, Delaware County Memorial Hospital in Drexel Hill, Springfield Hospital in Springfield, and Taylor Hospital in Ridley Park.
The deal is subject to customary regulatory approvals. Financial terms are still being finalized.
The two organizations said they will spend the next few months engaging in further due diligence and negotiating final details. They are targeting the end of second quarter for having a definitive agreement in place, which would allow the sale to potentially close in the second half of 2022.
ChristianaCare, if the deal is completed, intends to return Crozer Health, which has about 4,000 employees, to nonprofit status.