Capella Healthcare acquires majority ownership of Cannon County Hospital
Monday, Aug 1, 2011
FRANKLIN — Capella Healthcare has announced the completion of its acquisition of 60 percent ownership interest in Cannon County Hospital LLC (CCH). CCH owns DeKalb Community Hospital (DCH) a 71-bed hospital in Smithville, and Stones River Hospital (SRH) a 60-bed hospital in Woodbury.
Specifically, the transaction involved a subsidiary that owns a majority interest in Capella’s White County Community Hospital LLC (WCCH) in Sparta acquiring the majority interest in the CCH hospitals, which are now all three combined to form a new entity. Physician investors own the balance of equity in the new entity.
Capella Healthcare now manages all three hospitals pursuant to management agreements. Bill Little, who has served as CEO for the two CCH facilities since July 2009, assumes responsibility for all three hospitals as Market CEO while current CCH Chief Financial Officer Sarah Clark becomes market CFO for the new entity.
The addition of these facilities expands Capella’s presence in its home state of Tennessee to five hospitals. In addition to White County Community Hospital in Sparta, Capella also owns River Park Hospital in McMinnville and Grandview Medical Center in Jasper.
“These two hospitals have a rich history of working together to provide high quality care and excellent service and we are honored they are now a part of our Capella family,” said Dan Slipkovich, CEO of Capella Healthcare. “We consider it a privilege to be invited to partner with these physicians, employees and the community to take care to the next level. We look forward to expanding services throughout the region as we build upon this outstanding network of providers to meet the needs of the entire Upper Cumberland Plateau.”
“The owners of Cannon County Hospital LLC evaluated our options and believe that Capella will serve our patients, physicians and employees well," said Mark Gorman, secretary of the board for CCH LLC.
Hugh Don Cripps, M.D., a practicing physician, member of the CCH board, and one of the physician partners, said: “We are excited about our opportunity to collaborate with Capella and jointly help to lead in molding the future development of healthcare in the Upper Cumberland area. We are blessed to be able to continue to be led so ably by CEO Bill Little and CFO Sarah Clark.”
About Cannon County Hospital LLC
Situated in the heart of the state approximately halfway between Chattanooga and Nashville, the two CCH hospitals have worked collaboratively since both became owned by the same group of investors, primarily physicians, in July 2006. There are approximately 80 physicians on the combined medical staffs, representing nearly every medical specialty.
Established in 1980, SRH is a 60-bed hospital accredited by The Joint Commission. Located at 324 Doolittle Road in Woodbury, the hospital provides 24-hour emergency care as well as surgical procedures, same day outpatient services, cardiac rehabilitation services and comprehensive imaging services. Through the Riverside Center, a full range of mental health services for older adults is available, with intensive inpatient services at a 14-bed gero-psychiatric unit at the hospital and outpatient care at a separate facility in Murfreesboro.
Established in 1969, DCH is a 71-bed hospital also accredited by The Joint Commission. It is located at 520 W. Main St. in Smithville, offering 24-hour emergency services and comprehensive diagnostic, medical, surgical and rehabilitative services. The hospital has enjoyed a long history of medical excellence having been named one of the 100 Top Hospitals in America by Thomson Reuters (formerly Solucient) for five years.
About White County Community Hospital
Founded in 1929 by Dr. E.B. Clark, White County Community Hospital is a 60-bed facility accredited by The Joint Commission and certified by the American Heart Association as a “Get with the Guidelines” hospital. Located at 401 Sewell Road in Sparta, the hospital provides a full range of medical services, including 24-hour emergency services and comprehensive diagnostic, medical, surgical and rehabilitative services as well as a gero-psychiatric unit.
About Capella HealthcareCapella Healthcare partners with communities to build strong local healthcare systems that are known for quality patient care and exceptional service. Based in Franklin, Capella owns and/or operates 15 general acute-care hospitals in seven states. With the philosophy that all healthcare is local, Capella collaborates with each hospital’s medical staff, board and community leadership to take care to the next level. The company has access to significant leadership and financial resources, reinvesting 100 percent of net cash flow into its family of hospitals to strengthen and expand services and facilities. For more information, visit the company’s website at www.capellahealthcare.com.