Conemaugh Health to Partner with Duke LifePoint
Conemaugh Health System, a three-hospital, $515 million revenue health system headquartered in Johnstown, PA, has signed a letter of intent to join Duke LifePoint Healthcare, a joint venture between Duke University Health System and LifePoint Hospitals. As part of the transaction, Duke LifePoint has agreed to invest more than half a billion dollars over the next decade to strengthen Conemaugh and its clinical programs. The investments will fund growth initiatives, facility improvements, physician recruitment, and will assist the System in its role as a driver of economic activity in West Central Pennsylvania. This is Duke LifePoint’s first acquisition in Pennsylvania.
The Board of Conemaugh engaged Juniper Advisory to proactively assess its strategic alternatives and to implement a competitive process to evaluate a range of structural options. Juniper designed and managed a comprehensive market-clearing process, drafted information materials, assembled an electronic data room, conducted reverse due diligence, and negotiated the agreement between the parties.
Conemaugh Health System
Conemaugh is a nonprofit healthcare organization comprised of three acute care hospitals located in West Central Pennsylvania. It provides a number of high-acuity specialties, including operating a Level One Trauma Center. The System is the largest healthcare provider between Pittsburgh and Harrisburg with over 4,500 employees and 375 physicians. In a region that was once known for heavy industry including iron, coal, and steel, Conemaugh is now the largest employer in Johnstown and a major commercial engine for the region.
Duke LifePoint Healthcare
Duke LifePoint is a joint venture between Duke University Health System, one of the country’s leading academic medical centers, and LifePoint Hospitals, an investor-owned company with 61 hospitals in 20 states. Duke LifePoint combines Duke’s clinical expertise and excellence in quality care with LifePoint’s financial resources, scale, and skill in operating community hospitals. The joint venture currently owns five hospitals and is in the midst of four additional acquisitions, including Conemaugh.
For additional information, please refer to Conemaugh’s website, or click here to contact us.