Canyon Atlantic Healthcare, which is in the process of acquiring Brandywine and Jennersville hospitals from Tower Health, plans to turn them into for-profit facilities, writes John George for the Philadelphia Business Journal.
Canyon specializes in revitalizing distressed hospitals. The acquisition will provide the Austin, Tex.-based company with the first two hospitals it will own and operate.
“These would be the cornerstone for our company going forward,” said David Kreye, CEO of Canyon. “That said, our senior leadership team has more than 150 years of experience transitioning financially distressed hospitals.”
According to Kreye, Canyon learned about Tower Health’s attempts to sell the two hospitals earlier in the year through a third party. Despite the losses recorded by both facilities recently, Canyon made an undisclosed offer that Tower Health accepted. According to the deal, Canyon will assume ownership of the two hospitals on Jan. 1.
“We think they are in a great market with a great medical staff and great buildings,” said Kreye.
He also confirmed that both medical centers will be converted to for-profit hospitals.
“We will pay taxes and put money back in the community,” he said.
Read more about the plans for the two local hospitals in the Philadelphia Business Journal.