HCA announced today it is buying Grandview Medical Center in Jasper, Tenn., to add a fifth Chattanooga area hospital to the HCA's Parkridge Health System.
The 70-bed hospital, which was started in South Pittsburg Hospital, is now owned by the Nashville-based Capella Healthcare, serves five counties in Tennessee, Georgia and Alabama. The hospital will become part of the Parkridge Health System in HCA's TriStar Division.
"The addition of Grandview Medical Center will enhance our ability to serve the Chattanooga market and deliver the highest quality patient care possible close to where people live and work," said Steve Corbeil, president of HCA's TriStar Division. "We look forward to welcoming Grandview to TriStar and Parkridge Health System."
Mark Medley, president of hospital operations for Capella Healthcare, said Grandview has added physicians and expanded services over the past six years under the ownership of Capella. But he said the hospital should do better under HCA's ownership.
"During the coming years, to best serve their communities, hospitals must improve quality while lowering costs," Medley said. "Closer collaboration with the region's leading health system will help facilitate the achievement of these goals for Grandview and people throughout the Sequatchie Valley."
The transaction is subject to customary regulatory approvals and is expected to be completed in the first quarter of 2014. Terms of the agreement were not disclosed. Capella and HCA are working closely to ensure a smooth transition for hospital employees, patients and the community.