From consumer line to hospital chain. New for-profit company SunLink to concentrate on rural markets.
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Biomedical subjects
Publications and source records attributed to B Kirchheimer.
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What a difference a year makes. Last fall, investor-owned hospital chains could hardly find a welcome mat anywhere on Wall Street. Their earnings reports were sprinkled with dire warnings of reimbursement shortfalls and the devastating effect on bottom lines. This year, with profits up sharply and stock prices rebounding, analysts and investors seem ready to roll out the red carpet for these same companies.
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In a deal that will combine two companies with familial links to Nashville's HCA-The Healthcare Co., Dallas-based Triad Hospitals last week agreed to acquire Brentwood, Tenn.-based Quorum Health Group for $2.4 billion. The merger would create the nation's third-largest investor-owned hospital chain, behind HCA and Tenet Healthcare Corp. Analysts say sell-offs of some hospitals and Quorum's hospital management business are likely.
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