Community Health Systems, Inc. (NYSE: CYH) has announced a definitive agreement to sell three Pennsylvania hospitals to WoodBridge HealthCARE Inc. for $120 million. The hospitals included in the transaction are the 186-bed Regional Hospital of Scranton, the 122-bed Moses Taylor Hospital in Scranton, and the 369-bed Wilkes-Barre General Hospital in Wilkes-Barre. This deal, which includes a $10 million prepayment for services to be provided pursuant to an information technology transition services agreement, is expected to close in the fourth quarter of 2024, subject to customary regulatory approvals and closing conditions.
On their second quarter 2024 earnings call, Community Health Systems, Inc. had discussed the potential divestiture of these hospitals. The company's subsidiaries currently own or lease 71 affiliated hospitals with more than 11,000 beds and operate more than 1,000 sites of care, including physician practices, urgent care centers, freestanding emergency departments, occupational medicine clinics, imaging centers, cancer centers, and ambulatory surgery centers across 15 states.
The headquarters of Community Health Systems, Inc. are located in Franklin, Tennessee, and its shares are traded on the New York Stock Exchange under the symbol "CYH." The market has reacted to these announcements by moving the company's shares -0.4% to a price of $5.16. Check out the company's full 8-K submission here.
