It has been a busy week for Colorado-based Centura Health. On Feb. 14, CommonSpirit Health and AdventHealth announced they planned to end their joint venture that began in 1996 with the creation of Centura as a management company for healthcare facilities in Colorado and western Kansas. Then on Feb. 15, Centura, CommonSpirit, and Steward Health Care announced that they have signed an agreement for CommonSpirit to acquire Dallas-based Steward’s Utah five hospitals, more than 35 medical group clinics, and a clinically integrated network. Centura Health will manage those assets.
The Feb. 14 statement said that while they have had a strong partnership for 27 years, Chicago-based CommonSpirit Health and Alamonte Springs, Fla.-based AdventHealth “have both grown and evolved over the years as have the healthcare needs of the communities. The partnership has accomplished so much; yet, it has reached its natural maturity.”
CommonSpirit Health and AdventHealth have agreed that they can best serve their communities and healthcare ministries without a partnership and with each organization directly managing their respective care sites that comprise Centura Health. Centura Health will continue in its management role of the hospitals, physician clinics and other care sites throughout the transition.
Following the transition, AdventHealth will operate and manage the five Adventist hospitals and their affiliated clinics in Colorado, while CommonSpirit Health will operate and manage their 15 hospitals and their affiliated clinics in Colorado and western Kansas.
The five hospitals and their affiliated clinics included in the agreement between Steward and CommonSpirit 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.
“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 and CEO of Centura Health, in a statement.
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 CommonSpirit Health. They will be managed by Centura Health and wholly owned by CommonSpirit Health. CommonSpirit is a nonprofit, Catholic health system with more than 2,000 care sites across 22 states. Centura, a Christian-based health system, has headquarters in Centennial, Colo., and includes 20 hospitals, 260 clinics, more than 1,000 Centura Health Physician Group providers, urgent care and emergency centers, 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 Ralph de la Torre, M.D., in a statement “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.”
When the transaction closes, Centura said, it 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 healthcare across the three-state region.
Centura and Steward said they would 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.
