Centura Health To Acquire Utah Care Sites From Steward Health Care
Five Hospitals, Physician Group of Utah and Joint Ventures Will Become Part of Multi-State, Not-For-Profit Health System
(CENTENNIAL, COLO. and SALT LAKE CITY, UTAH) – Centura Health and Steward Health Care announced today that they have signed an asset purchase agreement (APA) for Centura to acquire Steward’s ownership interest in its Utah health care sites, which include five hospitals, more than 35 medical group clinics, a clinically integrated network of care providers and Steward’s ownership in its joint venture imaging centers and urgent care sites. The five hospitals and their affiliated clinics included in the agreement are Davis Hospital and Medical Center in Layton, Jordan Valley Medical Center in West Jordan, Jordan Valley Medical Center-West Valley Campus, Mountain Point Medical Center in Lehi and Salt Lake Regional Medical Center in Salt Lake City. Since 2017, Steward has invested heavily to enhance operations and position these facilities as exceptional performers for the communities of Utah, including implementing numerous quality care initiatives that have garnered third-party clinical recognitions and improved financial performance.
“We are excited to welcome the physicians and associates of these essential hospitals, clinics, and outpatient ventures to our connected ecosystem of 21,000 incredible people,” said Peter D. Banko, President & CEO of Centura Health. “Returning to the Mission and values-driven leadership started by the Sisters of the Holy Cross in 1875 in Salt Lake City will only serve to further build whole person care and flourishing communities served by these important health ministries.”
At the close of the transaction, which is expected to be finalized later this year, Steward’s Utah assets will become a part of Centura and be sponsored by CommonSpirit Health, one of Centura’s two Sponsors. Centura has been serving the communities of Colorado and western Kansas since 1882, when its health ministries in Durango, Colo. and Pueblo, Colo. were founded by religious Sisters. Centura, a Christian-based health system, headquarters in Centennial, Colo. and includes 20 hospitals, 260 clinics, more than 1,000 Centura Health Physician Group providers, urgent care and emergency centers, Flight For Life® and more.
“We are very proud of the work we’ve accomplished in Utah over the past five years to nurture and grow these community hospitals. We could not have accomplished that without our local team members’ focus on putting patients at the center of everything we do,” said Steward Chairman and CEO Dr. Ralph de la Torre. “While bittersweet, this transition will allow Steward to reinvest in our value-based care model and maximize its impact in other regions while also enabling Centura to leverage its impressive scale to enhance care and improve outcomes for patients in Utah.”
With a population of 3.4 million, Utah is forecasting significant growth in the next five years and has a population similar to Colorado with residents who are active in their personal health and wellbeing. When the transaction closes, Centura will collaborate with community stakeholders and hospital and clinic leadership to build a strategic market plan that enables new clinical care options for patients and explores new opportunities to have a greater impact on the future of health care across the three-state region. Centura’s Vision around health and wholeness for every community, every neighborhood, and every life drives its focus to keep care close to home, increase access to care, and engage and support its caregivers in delivering high-performing whole person care.
“We are a vibrant community serving vibrant communities, loving neighbors helping loving neighbors, real people partnering with real people,” said Banko. “We look forward to supporting, nurturing, and learning from the more than 3,000 caregivers and continuing the longstanding legacy of caring for communities throughout Utah.”
Centura and Steward will work together to transition employment of associates and employed providers who are in good standing to Centura at the close of the transaction, pending standard regulatory review and approval. Centura will collaborate with hospital leaders and caregivers to ensure a seamless transition for patients with no disruptions to their care.
Citi and SVB Securities LLC acted as financial advisors to Steward Health Care. The transaction is subject to customary regulatory approvals and other closing conditions. Terms of the agreement were not disclosed.
About Centura Health
Centura Health connects individuals, families and neighborhoods across Colorado and western Kansas with more than 6,000 physicians and 21,000 of the best hearts and minds in health care. As a joint operating agreement between its two Sponsors: CommonSpirit Health, a Catholic ministry, and AdventHealth, a ministry of the Seventh-day Adventist Church, Centura manages and operates 20 hospitals, neighborhood health centers, physician practices and clinics, home care and hospice services, and Flight For Life® Colorado. Through its Vision of every community, every neighborhood and every life – whole and healthy, its caregivers amplify whole person care and make the region’s best health care accessible. For information on Centura Health or any of the facilities in our network, please visit the Centura Health website.
About Steward Health Care
Nearly 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, tax paying, 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.
Steward is among the nation’s largest and most successful accountable care organizations (ACO), with more than 5,500 providers and 43,000 health care professionals who care for 12.3 million patients a year through a closely integrated network of hospitals, multispecialty medical groups, urgent care centers, skilled nursing facilities and behavioral health centers.
Based in Dallas, Steward currently operates 39 hospitals across Arizona, Arkansas, Florida, Louisiana, Massachusetts, Ohio, Pennsylvania, Texas and Utah.