A new analysis prepared for the AHA by Kaufman, Hall & Associates, LLC and released today shows a range of partnerships, mergers and acquisitions can be an important tool for keeping financially struggling hospitals open and preserving access to care, along with other key benefits for the surrounding community. By analyzing Kaufman Hall and AHA Annual Survey data on transactions from 2015 to 2019, the report found that almost 40% of acquired hospitals were, at the time of acquisition, financially challenged, cited financial distress, or both; integration played a role in saving many from bankruptcy.

While recognizing that these arrangements may not be right for all hospitals, the Kaufman Hall analysis found that partnerships, mergers and acquisitions have helped some hospitals achieve benefits such as capital investment and improvements; expanded services to patients; improvements in cost and quality of patient care; and improved patient experience.

“America’s hospitals and health systems – and the 6 million women and men who work there – are cornerstones of their communities, and that has never been more apparent than during the ongoing public health emergency,” said AHA president and CEO Rick Pollack. “Some hospitals have found that partnerships, mergers and acquisitions were a necessary response to a changing environment in their community and have allowed them to maintain the vital services they provide each and every day to patients and communities.”

Read the full report here.

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