The Catholic health system says the decision to sell comes after a yearlong 'thoughtful and deliberate process' to determine the long-term sustainability of the three hospitals.
SSM Health is negotiating with the University of Missouri Health Care and Mosaic Life Care "to explore transferring ownership" of three SSM hospitals in Jefferson City, Maryville, and Mexico, Missouri.
The St. Louis-based, Catholic, not-for-profit health system this week entered exclusive discussions with MU Health to sell its Mid-Missouri hospitals, which include SSM Health St. Mary's Hospital—Jefferson City and SSM Health St. Mary's Hospital—Audrain, with affiliated outpatient, home care, hospice and medical group venues in the region.
SSM Health is also in exclusive discussions with St. Joseph-based Mosaic Life Care to sell SSM Health St. Francis Hospital—Maryville and ancillary services in the northwestern Missouri.
The three health systems have begun a due diligence process that is expected to take several months and the terms of the deals are still being finalized.
SSM said the decision to sell the hospitals came after a yearlong "thoughtful and deliberate process" by the board of trustees, which weighed options to ensure the long-term sustainability of the three hospitals.
"The healthcare industry has shifted dramatically over the past several years," SSM President/CEO Laura S. Kaiser said in a media release.
"In order to provide safe, high-quality healthcare services that are convenient and affordable, health systems must integrate all points of service across the entire continuum of care."
"Given the close proximity of MU Health Care and Mosaic Life Care’s existing services, we feel this transition of ownership will best serve the people of Jefferson City, Mexico, Maryville and surrounding communities," she said.
MU Health CEO Jonathan Curtright said the two hospital acquisitions in mid-state will create new opportunities to train physicians and other clinicians, while providing care access for patients in underserved rural areas.
"As an academic health system, we will be able to offer these communities improved access to our comprehensive integrated health care services that include the latest treatments and leading-edge research available," he said.
Mosaic Life Care, a member of the Mayo Clinic Care Network, includes three hospitals and more than 60 outpatient locations, urgent care clinics and doctors' offices in Northwest Missouri.
Mosaic CEO Mark Laney, MD, said the health system has pledged to "further expand access to important services needed throughout rural communities in Northwest Missouri–while helping our patients become the healthiest versions of themselves."
John Commins is the news editor for HealthLeaders.
KEY TAKEAWAYS
SSM CEO Laura S. Kaiser says selling the hospitals to established regional health systems will better serve the patients in those service areas.
MU Health believes the acquisitions will create new opportunities to train clinicians and provide care in underserved rural areas.
Due diligence is expected to take several months, and terms for the sale have yet to be finalized.