Topics
More on Mergers & Acquisitions

Crozer Health hospital closing operating room procedures as sale announced

Sale to CHA Partners is a positive step to remaining a critical healthcare provider in Delaware County, Crozer says.

Susan Morse, Executive Editor

Photo: John Fedele/Getty Images

Crozer Health in Delaware County, Pennsylvania, is closing all operating room procedures at Taylor Hospital by September 1, according to WHYY.

Crozer Health is a four-hospital system owned by the for-profit and private equity funded Prospect Medical Holdings, which earlier this month signed a letter of intent for CHA Partners to acquire the health system.  

In April 2022, the Delaware County Council reportedly enacted an ordinance requiring hospitals to provide a 180-day notice to the Delaware County Health Department if they wanted to close a ward or hospital. 

A spokesman for the health department was not immediately able to provide information on whether Crozer was required to make such a notification in the closure of operating room services at Taylor Hospital, or whether a notification had been made.

WHY THIS MATTERS

Crozer Health is reportedly the region's main emergency medical services provider in the county and is home to its primary trauma center. It contains the county's only burn unit, according to WHYY. 

Last year, after Crozer shuttered services and programs at hospitals, failed to pay vendors and laid off staff, Prospect Medical Holdings agreed to sell the financially distressed health system, the report said. Crozer announced that Prospect Medical and CHA Partners had signed a letter of intent for the CHA acquisition.

THE LARGER TREND

The acquisition would involve transitioning Crozer Health's hospitals back to not-for-profit status.  

CHA Partners said it is a healthcare organization founded in 2008 that has acquired five hospitals in New Jersey, and also owns and operates ambulatory surgery centers, medical office buildings and skilled nursing/assisted living facilities. 

WHYY said CHA is a real estate and development company that has also sold the five New Jersey hospitals.

ON THE RECORD

"We believe this is a positive step for our physicians, employees and the communities we serve, and will help secure Crozer Health's future as a critical healthcare provider in Delaware County," Crozer said in a statement. 
 

Email the writer: SMorse@himss.org