Prime Healthcare Foundation has signed a definitive agreement to acquire the 126-bed The Memorial Hospital of Salem County and related businesses, including physician clinic operations and ancillary services, from subsidiaries of Community Health Systems.
Community is a for-profit company while Prime is a non-profit entity that according to its website buys and turns around struggling hospitals. Community owns other hospitals in the area in Jennersville and Coatesville, PA.
The future of the hospital had the subject of speculation in the past couple of years, with Community coming under fire from critics who claimed it was not investing in the hospital.
Also, a subject of controversy was a fund that was formed after Memorial Hospital was sold for more than $30 million to Community more than a decade ago.
Among the systems mentioned as potential buyers was Christiana Care. The Delaware nonprofit has physician practices in the county.
The transaction is subject to regulatory approvals and is expected to close in the second quarter of 2016.
The Memorial Hospital of Salem County, located in Salem, NJ, is an acute care community hospital that offers emergency services and medical/surgical services including cardiopulmonary care and wound care.
The hospital has received Gold Seal approval from The Joint Commission and is a certified Primary Stroke Center, serving all members of Salem, western Cumberland, and southern Gloucester counties.
“Prime Healthcare looks forward to continuing The Memorial Hospital’s history of quality and success because we believe exceptional healthcare should be part of every community,” said Prem Reddy, MD, CEO of Prime Healthcare. “The experienced team of physicians, nurses and staff at The Memorial Hospital of Salem County are recognized for their exceptional care and will be a welcome addition to the Prime Healthcare family of hospitals.”
