UNC Health Care to buy Chatham Hospital
Posted July 16, 2008 3:25 p.m. EDT
Updated July 16, 2008 8:47 p.m. EDT
Siler City, N.C. — The UNC Health Care System and Chatham Hospital have signed a letter of intent for UNC to purchase the 25-bed critical access hospital in Siler City for $11.3 million.
UNC Health Care also pledged to invest $9.3 million to develop health care services in Chatham County over the next seven years. Initial priorities include a medical office building near the hospital, expansion of radiology services and improvement of information systems.
The deal will allow Chatham Hospital to remain viable in its service area and enhance the delivery of high-quality, cost-effective care to patients, hospital officials said.
The deal comes as a new Chatham Hospital building is nearing completion near the intersection of U.S. Highways 64 and 421 in Siler City. Of the hospital's 25 beds, 21 are dedicated to general medical and surgical care, and four are for intensive care services.
UNC Health Care has worked with Chatham Hospital for more than 10 years and has managed the hospital since 2006. Carol Straight will remain as the hospital's chief executive officer.
“The two organizations have a great working relationship, and we believe that now Chatham Hospital and the people it serves will enjoy additional benefits from a more structured relationship with UNC Health Care,” Laura Clapp, chairwoman of the Chatham Hospital Board of Trustees, said in a statement.
UNC Health Care also will assume the hospital's $34.7 million in debt and will transfer $2 million to the hospital.