Tenet Completes Purchase of Vanguard Health
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Saint Vincent Hospital and MetroWest Medical Center are now officially under a new owner.
Tenet Healthcare completed its $4.3 billion acquisition of Vanguard Health Systems Tuesday, the company announced. The deal includes Tenet’s assumption of $2.5 billion of Vanguard debt.
Tenet paid $21 per share of Vanguard stock, a 70 percent premium on Vanguard’s stock price before the deal was made public in June. Dallas-based Tenet now runs 77 acute care hospitals, 173 outpatient centers, five health plans and six accountable care organizations in 10 states.
“Through this acquisition, we have significantly increased our scale and expanded the services we offer,” said Trevor Fetter, Tenet’s president and CEO. “We are strongly positioned to drive improvements in quality and value for the millions of people to whom we provide care.”
MetroWest Medical has struggled to turn a profit since 2003, according to state data. It has campuses in Framingham and Natick. Conversely, Worcester-based Saint Vincent has been among the best performing hospitals in Massachusetts, earning nearly $200 million between 2006 and 2012.
The change in ownership will be a bit of déjà vu for the Central Massachusetts facilities, which were owned by Tenet until 2004. Vanguard purchased MetroWest Medical and Saint Vincent’s in 2004 for $127 million.
Prior to the 2013 acquisition, Tenet didn’t have any New England hospitals.
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