In a significant move for regional healthcare, the Tenor Health Foundation's affiliated entities have reached a definitive agreement to acquire three hospitals situated in Pennsylvania, USA, from Community Health Systems (CHS). This strategic acquisition encompasses a substantial healthcare infrastructure, including the 369-bed Wilkes-Barre General Hospital, the 186-bed Regional Hospital of Scranton, and the 122-bed Moses Taylor Hospital, also located in Scranton, along with their related operational businesses.
This current agreement materializes after a previous divestiture plan involving WoodBridge Healthcare was terminated in November 2024. Subsequently, representatives from CHS engaged in collaborative efforts with the office of Pennsylvania Governor Josh Shapiro and members of the state's General Assembly. This concerted partnership was specifically designed to identify a suitable new operator capable of ensuring the sustained operation of these vital hospital facilities and the continuous provision of healthcare services within the Scranton area. Extensive outreach initiatives were undertaken to engage both national and regional healthcare organizations to facilitate this transition.
The completion of this transaction is contingent upon meeting standard regulatory approvals and closing conditions. A crucial factor for its finalization is the Tenor Health Foundation successfully securing the necessary funding. Once these conditions are met, the acquisition is projected to conclude within the fourth quarter of the current year, although the precise financial terms of the agreement have not been publicly disclosed by the involved parties. These three hospitals were previously identified as potential divestitures during CHS' earnings call for the third quarter of 2025, reflecting CHS' broader strategy as it manages healthcare delivery systems across 36 markets in 14 states, overseeing 70 affiliated hospitals with over 10,000 beds and more than 1,000 care sites.
This acquisition underscores a commitment to maintaining and enhancing healthcare services within the communities served by these hospitals. It highlights the importance of strategic partnerships between healthcare foundations, state authorities, and existing health systems to navigate complex transitions and ensure uninterrupted access to quality medical care for residents. Such collaborations are essential in fostering a resilient healthcare landscape that adapts to evolving needs and challenges, ultimately benefiting patient well-being and community health.