In a major shift for healthcare in Illinois, Ascension is selling nine hospitals from its extensive network to Prime Healthcare, a California-based health system. The acquisition, announced this Thursday, includes several post-acute and senior living facilities. Though the quoted financial terms of the deal have not been revealed, this move is set to mark Prime Healthcare's entrance into the Illinois market and represents its largest acquisition to date.
The hospitals involved in the transaction are well-known establishments in the community, including Ascington Holy Family in Des Plaines and Ascension Mercy in Aurora. The move by Prime Healthcare, according to a statement obtained by the Chicago Sun-Times, is planned to include a significant $250 million investment to comprehensively upgrade hospital facilities, technology, and systems. These investments will, undoubtedly, aim to significantly bolster the services at these healthcare institutions.
Employees of Ascension are expected to be offered employment under the new ownership, with the stipulation that they will need to reapply for their positions. A streamlined online application system is being set up to facilitate this process, as stated by Prime spokesperson Elizabeth Nikels. The Prime Healthcare portfolio, which spans across 14 states with a 44-hospital network, is set to expand its footprint through this purchase, bringing potentially nuanced changes to the Illinois healthcare landscape.
Under the acquisition, Ascension will remain a major presence in the state's health system, retaining several hospitals including Ascension Alexian Brothers and Saint Joseph in Chicago. Conversely, Prime Healthcare's acquisition will see the transition of eight Ascension hospitals to for-profit status, while Ascension Saint Francis in Evanston will continue to operate as a nonprofit under Prime Healthcare Foundation. This transition has led some, like Jeanine Johnson, an ICU nurse at Ascension Saint Joseph Hospital in Joliet, to express cautious optimism. In a statement obtained by the Chicago Tribune, Johnson stated, "We could be a major hub for healthcare in the southwest suburbs and instead we've been dismantled into a very small hospital... when just five short years ago we were able to care for many patients."
The proposed deal is subject to various regulatory approvals, including from the Archdiocese of Chicago and the Illinois Health Facilities and Services Review Board, with expectations to conclude by the first quarter of 2025. The future of healthcare in Illinois is now poised to evolve as the community and its healthcare workers anticipate the unfolding effect this substantial agreement will have on their services and connections to the people they serve.
