Nashville-based Vanguard Health Systems will soon have a new owner. Tenet Healthcare will buy Vanguard’s hospitals in a deal worth more than $4 billion. The new owner says it’s commited to keeping Vanguard’s presence in Nashville.
Vanguard is one of the nation’s largest for profit hospital companies, and one of several such firms that calls Nashville home. Around 200 employees work at its Green Hills headquarters. It runs hospitals nationwide and manages part of Arizona’s Medicaid program. Tenet Healthcare owns hospitals in 11 states. Its headquarters is in Dallas, and that will also be the home base for the new combined company. CEO Trevor Fetter was vague on the level of operations it will keep in Nashville, though he said it was the complimentary that attracted Tenet to the purchase.
“We see the opportunity to recruit and retain Vanguard’s operational and corporate talent as a real plus in this acquisition, and we will maintain a presence in Nashville,” Fetter said.
Forbes called the deal part of a “merger frenzy” brought about by the Affordable Care Act. The business publication notes other Nashville-based healthcare firms, such as Community Health Systems, are ripe for merger or takeover.