Capella Healthcare has sold Alabama-based Jacksonville Medical Center to Northeast Alabama Regional Medical Center.
Financial terms of the deal, which is expected to close Dec. 31, were not disclosed.
“We are so proud of how Jacksonville Medical Center has grown in the time that they’ve been part of our Capella family,” Dan Slipkovich, CEO of Franklin-based Capella, said in a company statement announcing the deal. “The staff has been recognized nationally for both their quality of care and constituency satisfaction, having just been named for the second consecutive year to Modern Healthcare’s ‘Best Places to Work’ national listing.”
The deal was a consequence of “the lowest Medicare wage index in the country,” according to the same statement. Complicating matters was Alabama's low Medicare reimbursement ranking, further detailed in an Anniston Star article linked here.
“Healthcare reform and Alabama’s tough reimbursement climate both demand creative solutions from healthcare providers,” Slipkovich said. “Every hospital — even great ones like Jacksonville — must continue to expand patient access and quality while lowering costs.”