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Metro Health to Explore Strategic Equity Partnership

The Metro Health Corporation board of directors today announced its decision to explore a strategic equity partnership with Community Health Systems (CHS), a leading healthcare organization with 135-affiliated hospitals serving communities across the United States. Discussions toward a potential relationship will also include the nationally renowned Cleveland Clinic, which entered into a strategic alliance with CHS earlier this year. The strategic alliance was formed with the goal of improving healthcare quality and reducing healthcare costs.

A potential equity partnership would provide access to capital and additional operational and clinical resources to further advance Metro Health’s longstanding commitment of providing quality care for area residents. It would also help position Metro Health for the transformative changes happening in the era of healthcare reform.

Metro Health board of directors Chairman Doyle Hayes said, “After a thorough process, which included consideration of many organizations that expressed interest in working with Metro Health, the board has directed management to pursue exclusive negotiations with Community Health Systems with the goal of signing a letter of intent, the first step toward a potential affiliation between the organizations.”

Hayes said the Board review included extensive discussions on what each potential partner would bring to Metro Health and West Michigan. In the end, the quality of health care provided by CHS and by Cleveland Clinic, including access to the best medical experts and the overwhelming satisfaction rankings set this offer apart. Cleveland Clinic is known around the world for the quality of its health care delivery system. The Metro Health Board factored that in as a primary consideration and as a way to ensure that West Michigan continues to have the best health care options available.

Upon execution of a letter of intent, the parties would conduct due diligence and additional negotiations over the terms of a definitive agreement, which would be subject to regulatory review before finalizing any relationship.

“This process is an important part of the work we are doing to ready our organization for the changes occurring under the Affordable Care Act and to position Metro Health for long-term success and growth,” said Metro Health President & CEO Mike Faas. “Metro Health is a strong and progressive health care organization, and like many other community hospitals and health systems aligning with partners, we can see the potential advantages of scale, access to national resources and the sharing of best practices.”

Faas also said, “An equity partnership for Metro Health has the potential to be one of the most positive developments to happen in Grand Rapids in recent years. Building on the impact of the MSU Medical School, the great research work being done at Van Andel Institute, and the expansion of other health care systems, Metro Health is excited about the opportunity to continue the positive momentum happening in our community.” 

For more information about the strategic alliance between Community Health Systems and the Cleveland Clinic, access the announcement press release at:

The terms “Community Health Systems” and “CHS” refer to Community Health Systems, Inc and its affiliates, including Community Health Systems Professional Services Corporation, unless otherwise stated or indicated by context.

About Metro Health
An award-winning leader in community healthcare, Metro Health serves more than 250,000 patients annually from across West Michigan – and beyond.  In addition to its 208-bed hospital, which provides a comprehensive suite of inpatient and outpatient healthcare services, Metro Health has a growing number of neighborhood outpatient centers and offices throughout West Michigan, as well as a community clinic for the underserved and a student health clinic on the campus of Grand Valley State University.  With more than 500 physicians on staff, Metro Health provides such specialty health services as, cancer treatment, heart and vascular, neurology, pulmonology and others.  Many are members of the Metro Health Medical Group.  The hospital is committed to promoting health and wellness through the work of the Metro Health Hospital Foundation, Live Healthy community outreach classes and educational programs and more.  Visit follow on Twitter @MetroHealthGr and like Facebook/MetroHealth.

About Community Health Systems
Community Health Systems, Inc. is one of the largest publicly-traded hospital companies in the United States. It is a leading operator of general acute care hospitals in non-urban and mid-size markets throughout the country. Located in Franklin, Tennessee, a suburb of Nashville, CHS, through its subsidiaries, owns, leases or operates 135 hospitals in 29 states with an aggregate of approximately 20,000 licensed beds. Community Health Systems Professional Services Corporation, a subsidiary of Community Health Systems, Inc., provides management services to the affiliated group of hospitals and is party to the agreements with Cleveland Clinic. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol, “CYH.”

About Cleveland Clinic
Cleveland Clinic is a nonprofit, multispecialty academic medical center that integrates clinical and hospital care with research and education. Located in Cleveland, Ohio, it was founded in 1921 by four renowned physicians with a vision of providing outstanding patient care based upon the principles of cooperation, compassion and innovation. Cleveland Clinic has pioneered many medical breakthroughs, including coronary artery bypass surgery and the first face transplant in the United States. U.S. News & World Report consistently names Cleveland Clinic as one of the nation’s best hospitals in its annual “America’s Best Hospitals” survey. About 2,800 full-time salaried physicians and researchers and 11,000 nurses represent 120 medical specialties and subspecialties. Cleveland Clinic Health System includes a main campus near downtown Cleveland, eight community hospitals and 18 Family Health Centers in Northeast Ohio, Cleveland Clinic Florida, the Lou Ruvo Center for Brain Health in Las Vegas, Cleveland Clinic Canada, and currently under construction, Cleveland Clinic, Abu Dhabi. In 2010 there were 4 million visits throughout the Cleveland Clinic Health system and 167,000 hospital admissions. Patients came for treatment from every state and from more than 100 countries.


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