Catholic ownership of hospitals is renewing in the US in some areas. Trinity updates 48 acute care hospitals and is the 4th largest non profit Catholic Healthcare system in the US. In other recent news Ascension Health has announced a joint venture for money with a private equity firm. Loyola has had several layoffs and had tough financial times. BD
Ascension Health and Private Equity Firm Oak Hill Capital Form Joint Venture To Buy Catholic Hospitals and Health Systems
Amid the rapidly changing health care landscape, Loyola University Chicago on Friday said it will get out of the hospital business by selling its medical center complex to a large national Catholic hospital operator.
The market is demanding more from hospital operators to stay competitive. By merging, they can pool capital to buy new computer systems, electronic record-keeping systems and the latest medical technology.
The sale to Michigan-based Trinity Health ends decades of management led by the Jesuits at Loyola University Health System, parent of Loyola University Medical Center in west suburban Maywood.
Amid the economic downturn, Loyola's health system has cut scores of jobs and "taken $100 million out of (its) cost structure," said Dr. Paul Whelton, CEO of the Loyola health system.
The health system has about 6,800 employees, and Whelton would not rule out additional job cuts. But he said Loyola plans to expand in the Chicago area. "We are in growth mode," Whelton said.