CHI in talks to assume sole ownership of Alegent

July 1, 2012

Catholic Health Initiatives and the Immanuel health and senior services system are in negotiations to make CHI the sole owner of a 10-hospital system that the two now cosponsor. The systems plan to sign a letter of intent for the transition, and they expect to complete the deal before the end of the year.

Englewood, Colo.-based CHI and Omaha, Neb.-based Immanuel each have had a 50 percent ownership stake in Omaha's Alegent Health since they negotiated a joint operating agreement for Alegent in 1996. Three Alegent hospitals are Catholic and follow the Ethical and Religious Directives for Catholic Health Care Services; two facilities are Lutheran; and the remainder are nondenominational. After the transition, the Alegent facilities will not perform procedures that would cause CHI to fall out of compliance with the ERDs. The Lutheran hospitals will retain their religious heritage.

Alegent's hospitals are located in Nebraska and Iowa.

CHI and Immanuel also are negotiating a collaboration through which they will expand Immanuel's senior adult facilities, programs and services. Currently, Immanuel operates five independent and assisted living facilities for seniors around Nebraska.

CHI and Immanuel administrators said their agreement would allow CHI to bring the resources of its 19-state network to bear for Alegent; and the deal enables Immanuel to focus on its senior facilities and programs.

At the paper's press time, Alegent was slated to acquire Creighton University Medical Center of Omaha on July 1.

 

Copyright © 2012 by the Catholic Health Association of the United States
For reprint permission, contact Betty Crosby or call (314) 253-3477.

Copyright © 2012 by the Catholic Health Association of the United States

For reprint permission, contact Betty Crosby or call (314) 253-3490.