Prime Healthcare Services has reportedly increased its offer to buy Hutcheson Medical Center in Fort Oglethorpe.

 

Prime, a California-based company that specializes in rescuing failing hospitals, had offered to buy the Fort Oglethorpe hospital for $7 million.

 

The new offer follows a federal bankruptcy judge’s denial, on Monday, Nov. 23, of Walker County's appeal to keep Hutcheson open until mid-December to allow its sale.

 

Highlights of the new offer include Prime’s willingness to immediately pay $7.2 million for the hospital, spend $1 million to recruit physicians and commit $20 million for capital improvements. Also, most of the current Hutcheson employees would be hired and Prime would guarantee the hospital remain open for at least five years.

 

More specifically, Prime increased its bid by adding the following commitments, as conveyed in an email sent Tuesday afternoon, Nov. 24: “In addition, we will commit to maintaining the hospital as a full service acute care hospital for five (5) years; commit to spending $20,000,000.00 for capital improvements in the next five (5) years; commit to spending no less than $1,000,000.00 in physician recruitment over the next two (2) years; hiring substantially all of the current employees; expanding the current service line to meet the needs of the community; and maintaining existing charity care policies.”

 

So far, Regions Bank, which opposes the sale of Hutcheson and is owed $33 million by Hutcheson, hasn’t acknowledged receipt of Prime Healthcare’s new offer.

 

(Walker County Messenger)