State officials have cleared the way for HCA Healthcare to buy Catholic Medical Center, the latest in a series of hospital mergers and acquisitions reshaping New Hampshire’s medical landscape. The Manchester hospital says it’s struggling financially, and the sale to HCA – the country’s largest for-profit hospital company – will ensure its survival. New Hampshire Attorney General John Formella announced Monday that his office had approved the deal, which is subject to a number of conditions meant to address concerns that patients could face higher costs or lose access to important services.
“This settlement represents a thoughtful approach that both addresses the insurmountable financial challenges CMC is facing and ensures that the health care needs of New Hampshire residents continue to be met,” Formella said in a news release. Once HCA takes over, CMC patients with commercial insurance will remain in-network at the hospital. And under a separate agreement with the Diocese of Manchester, the hospital must also continue to adhere to Catholic ethical directives.
Under the terms of the acquisition, the state has barred HCA from cutting labor and delivery, emergency mental health care or other “core” services for at least 10 years – with some exceptions, including if a service incurs a financial loss for 12 months. HCA agreed to a similar provision in 2020 when acquiring Frisbie Memorial Hospital in Rochester – only to cut labor and delivery services two ye.
