The Providence-based hospital organization Care New England has signed a letter of intent to merge with the Boston-based organization Partners Health Care, Care NE announced Wednesday.
The announcement comes at a critical time for Care New England, one of the largest hospital chains in Rhode Island.
The state’s largest health care workers union, SEIU 1199NE has already weighed in on the proposed agreement, warning against more possible layoffs within Care New England and Memorial Hospital.
Both the merger and the acquisition of Memorial Hospital are subject to state and federal regulatory approvals.
Under a new agreement, Memorial will be acquired by the California-based organization Prime Health Care, which also own Landmark Medical Center in Woonsocket.
As it stated in Care New England Health System of Providence announced Wednesday it has elected to join Partners Health Care of Massachusetts, signing a Letter of Intent and agreeing to negotiate exclusively with Partners.
The Care New England Board of Directors has selected Partners after an expedited review of more than 12 state, regional and national health care organizations, including for-profit and not-for-profit entities.
Under the proposal, the strong educational and research relationship that Care New England has fostered with Brown University will continue to play a critical role in the health care landscape and its future development.
The letter on intent sets forth a process to negotiate a transaction pursuant to which Care new England will become part of Partners.
Care New England has maintained a close working relationship with Partners Health Care since 2009 through a clinical affiliation with Brigham and Women’s Hospital (one of the founding members of Partners) in cardiology, and vascular, thoracic and colorectal surgery.
As it stated in
Brigham and Women’s parent Partners to acquire Care New England
By taking over Care New England, Boston-based Partners would instantly become a huge and deep-pocketed force in Rhode Island health care, controlling multiple hospitals including Women & Infants, Kent and Butler.
Partners and Care New England say they’ve had a “close working relationship” since 2009, when they established a clinical affiliation through Brigham and Women’s.
After that, regulators in both Rhode Island and Massachusetts would need to sign off on the twin transactions.
PROVIDENCE, R.I. (WPRI) – Care New England, Rhode Island’s second-largest hospital group, announced Wednesday it has agreed to merge with Brigham and Women’s Hospital parent Partners Health Care, in a deal that could significantly reshape the state’s medical sector if regulators approve it.
Women & Infants, Care New England’s flagship facility, is located on the campus of Rhode Island Hospital, Lifespan’s flagship, under a 99-year lease.
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