Steward Health now owns and operates 36 hospitals across the United States, making it the country’s largest private hospital operator.
The Boston-based physician-led organization’s merger with IASIS Healthcare was completed late last week.
Steward Health did not disclose the cost of the deal, but Boston Business Journal reported that Medical Properties Trust contributed $1.4 billion of the $1.9 billion purchase of the acquired hospital’s real estate that was part of the agreement. The organization projected the deal will lead to revenues of almost $8 billion in 2018.
Steward will now oversee 36 individual hospitals across 10 states, managed care operations in Arizona, Utah and Massachusetts, and employ 37,000 people, including 1,400 physicians and 4,700 integrated network physicians.
“This merger enables Steward to expand our successful, physician-led, integrated care model. We look forward to providing the highest quality of care through keeping patients healthy and being available with advanced care in their community, should they need it,” said Ralph de la Torre, M.D., chairman and CEO of Steward Health Care, in an announcement. “Steward will be introducing patients, physicians, and employees in six new states to our innovative programs and community commitment model.”
Iasis Healthcare CEO W. Carl Whitmer stepped down from his position on Friday after the deal closed. “I’m leaving proud of what we together have accomplished and excited about the possibilities that lie ahead for all of us,” Whitmer said in a written statement to the hospital chain’s employees, according to The Tennessean. Whitmer served as CEO for 17 years.
The acquisition includes four hospitals in Arizona, one hospital in Arkansas, one hospital in Colorado, one in Louisiana, six hospitals in Texas and five in Utah.