May 23, 2017
Birmingham, AL-based Medical Properties Trust, Inc. (MPT) signed definitive agreements to acquire the real estate interests of 10 acute care hospitals and one behavioral health facility currently operated by IASIS Healthcare (IASIS), and to be operated by Steward Health Care System LLC. The transaction is valued at $1.4 billion.
MPT’s pro forma total gross assets will increase by approximately 20% to nearly $9 billion. Further, it adds more than 2,400 beds to its portfolio, increasing the total number of hospitals to 269 and beds to 31,266. The community-focused hospitals are located in Utah, Arizona, Texas and Arkansas.
Steward and IASIS separately announced a simultaneous merger transaction expected to close in Q3 2017, completion of which is a condition of MPT’s investment. Steward will become the largest private, for-profit hospital operator in the U.S., with nearly 7,500 patient beds in 36 hospitals across ten states. Terms were not disclosed.
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