
Prospect Medical Holdings, today announced that it has entered into an amended and restated asset purchase agreement (the “APA”) to sell CharterCARE Health Partners, including the Roger Williams Medical Center, Our Lady of Fatima Medical Center, and the remainder of its coordinated health care network, to The Centurion Foundation, Inc. and other nonprofit corporations. The proposed sale is the product of an extensive, years-long prepetition marketing and regulatory approval process, and will ensure the stability and continuity of medical care to current patients and the communities that rely on these facilities.
Prospect Holdings and The Centurion Foundation entered into the initial asset purchase agreement in November 2022. However, the parties were unable to close the sale at that time, but remained committed to consummating the transaction, ultimately resulting in the amended APA.
Jeffrey Liebman, Chief Executive Officer CharterCARE Health Partners, said, “At CharterCARE Health Partners, we’re committed to providing our patients with convenient access to exceptional health care at every level, directed by skilled physicians, nurses, and other health professionals. Entering into this transaction and transitioning ownership of the Roger Williams Medical Center and Our Lady of Fatima Medical Center to nonprofit healthcare operators will ensure that commitment continues to be upheld long into the future. This is a positive development for our employees, physicians, and the Rhode Island communities we serve on a daily basis.”
Ben Mingle, President and CEO of The Centurion Foundation, said, “The Centurion Foundation is pleased that an amended asset purchase agreement for the acquisition of CharterCARE Health Partners has been reached with Prospect. We hope for a favorable decision from the bankruptcy court that will allow this important transaction to move forward and secure the future stability of these two critical hospitals. We appreciate all the support received from the Rhode Island community and are excited to return the CharterCARE Health System to non-profit status and local control.”
The sale and APA are subject to approval by the Bankruptcy Court and satisfying customary closing conditions. Prospect Holdings will seek Bankruptcy Court approval of the sale and APA at a hearing currently scheduled to occur on February 12, 2025. The parties intend to close the sale shortly thereafter.