Prospect East Orange General Hospital May Be Purchased By EOH Acquisition Group, LLC
East Orange General Hospital was an independent acute care hospital founded in 1903 as the Newark Homeopathic Hospital, but relocated to East Orange in 1926. It was a non-profit community hospital with net assets in 2013 of $31.25 million and total revenue of $101.4 million. During the sale process with Prospect Medical Holdings, Inc., East Orange General Hospital filed bankruptcy in order to reorganize its debt allowing it to remain current with ongoing obligations and renegotiate contracts. East Orange General Hospital has 201 beds.
Prospect Medical Holdings, Inc. is a for-profit company with corporate offices in Los Angeles, California. The company was founded in 1996 and from 2004 through 2010 it was a publicly traded company making regular filings with the U.S. Securities and Exchange Commission. It had an aggregate common stock market value of $66.8 million, held by non-affiliates. In July 2011, Prospect filed a certification and notice of termination of registration with the SEC in order to return to private status, making all its financial information no longer available to the public. The acquisition of East Orange General Hospital by Prospect was completed on March 1, 2016.
On October 15, 2021 Prospect EOGH announced that new ownership of the East Orange General Hospital was approved by the New Jersey State Health Planning Board. Upon the approval by the Commissioner of Health, the new ownership will be EOH Acquisition Group, LLC, with CEO Paige Dworak as part-owner with a 20 percent share. Other owners are Ben Klein, owner of behavioral and substance abuse treatment across the country, and attorney Troy Schell. East Orange General Hospital will remain a for-profit business.
Based on the audited financial statements on the hospital’s website, Prospect EOGH has experienced increased losses since 2017, the first full year of operation under Prospect. In 2017 the loss shown was $5.57 million; 2018 showed a loss of $31.7 million; 2019 had a loss of $80.37 million; and 2020 had a loss of $11.6 million. The first quarter of 2021 shows a loss of $4.18 million.
CERTIFICATE OF NEED APPLICATION
Prospect EOGH scrapped a DOH approved CN plan to switch the for-profit hospital back to a non-profit hospital upon the July 2020 filing of the Prospect-EOH CN application. Prospect stated in the CN application for EOH ownership transfer that new ownership was a better decision for the financial health of the hospital than making the change by Prospect to a non-profit facility. Prospect felt the only alternative to ownership transfer was closure of the hospital. The agreed upon purchase price in the Asset Purchase Agreement was $6.2 million.
In response to questions in the CN, all current services shall continue and EOH will “retain substantially” all staff. EOGH will continue to provide access to services and treat “indigent and medically underserved residents.”
Inspira Health adds Salem Medical Center to network
Inspira Health announced the addition of Salem Medical Center to its system Dec. 16, acquiring its hospital building, ambulatory surgery center and physician offices, effective immediately.
150-year-old N.J. hospital will merge with Capital Health, offer only ER and outpatient care
St. Francis Medical Center, a nearly 150-year-old institution in Trenton, will offer only emergency room and outpatient services starting Dec. 21, under a recently approved merger agreement with Capital Health, officials announced Thursday.
Cooper University Health, Cape Regional Health sign LOI to merge
Cooper University Health Care and Cape Regional Health System announced that the two systems have signed a Letter of Intent to merge.
New Jersey hospital to close under proposed deal
St. Francis Medical Center in Trenton, N.J., would close and many of its services would be shifted to another hospital if a proposed transaction between Capital Health and Trinity Health is approved, according to the Philadelphia Business Journal.
FTC blocks merger of two NJ hospitals less than a mile apart
The Federal Trade Commission announced Tuesday that two hospital systems in New Jersey that were planning to merge have canceled those plans, following an FTC complaint that a merger would be anticompetitive.
Merger plans abandoned: Hackensack Meridian, Englewood Health terminate agreement
It's over. Hackensack Meridian Health and Englewood Health have officially dropped their plans for a merger, in a move that could have reverberations across the U.S. health care system.
US court blocks merger of Hackensack Meridian and Englewood Health
A federal appeals court on Tuesday blocked the proposed merger of Englewood Health and Hackensack Meridian Health.
Expanded Partnership Between CentraState Healthcare System and Atlantic Health System Approved by State of New Jersey
New Jersey Superior Court Judge Joseph Quinn has accepted New Jersey Acting Attorney General Andrew Bruck’s approval of CentraState Healthcare System and Atlantic Health System’s plans to expand their successful partnership.
The downsides of ‘merger mania’ in healthcare
After a decade of "merger mania," many organizations now are taking a step back and looking to unwind past partnerships or call off deals before they are finalized.
25 attorneys general urge court to block New Jersey hospital merger
A coalition of attorneys general is urging an appellate court to block the merger of Edison, N.J.-based Hackensack Meridian Health and Englewood (N.J.) Health.
Hospital mergers and acquisitions are a bad deal for patients. Why aren’t they being stopped?
Contrary to what health care executives advertise, hospital mergers and acquisitions aren’t good for patients. They rarely improve access to health care or its quality, and they don’t reduce prices. But the system in place to stop them is often...
Hackensack Meridian and Englewood Health fight on in favor of hospital merger
Hackensack Meridian Health has not given up its fight to acquire Englewood Health, despite a federal court order earlier this month.
Deal off for now: Federal judge halts Hackensack Meridian acquisition of Englewood Health
A federal judge this week temporarily blocked Hackensack Meridian Health, one of the state’s largest health care systems, from acquiring Englewood Health.
Thomas Jefferson University says the FTC has dropped opposition to its acquisition of Einstein
Taken from The Philadelphia Inquirer By Harold Brubaker March 1, 2021 Read the article here.
FTC Challenges Hackensack Meridian Health, Inc.’s Proposed Acquisition of Competitor Englewood Healthcare Foundation
New Jersey healthcare system merger would increase price and reduce quality of healthcare
RWJBarnabas, Trinitas clinch definitive merger agreement
Trinitas Regional Medical Center and its affiliates will become part of RWJBarnabas Health under a definitive merger agreement the systems entered into on Nov. 11.
FTC challenges Jefferson-Albert Einstein hospital merger
The Federal Trade Commission said Thursday it will challenge the proposed merger between two Philadelphia-area not-for-profit health systems on the grounds the combination would reduce competition.
Not every N.J. hospital sees need to merge into bigger system — but independents are dwindling
Every year, New Jersey’s health care system moves one merger closer to making independent hospitals a relic of the past.
Hospital mergers are on the rise but standalone facilities are finding ways to survive.
New deals coming
Financial pressures and an increasingly competitive market are driving the consolidation of hospitals in New Jersey. While traditional hospital mergers and acquisitions will continue, an uptick in non-traditional alliances will also occur in 2020.
RWJBarnabas, Saint Peter’s Healthcare to explore merger
Saint Peter’s Healthcare System and RWJBarnabas Health announced on Dec. 16 that they have signed a non-binding letter of intent to explore a potential partnership.
Health Care’s Biggest Problem Is Getting Worse
Many liberals and a growing number of Democratic presidential candidates have embraced a bold idea for reforming America’s broken healthcare system.
Bayonne Medical Center is looking for a merger partner amid a consolidation wave, but residents worry about losing access to acute care...
Merger mania shakes up Philadelphia-area health system rankings
The merger mania reshaping the Philadelphia region’s health care industry over the past few years is evident by the changes at the top of this year’s Philadelphia Business Journal ranking of the region’s largest health systems.
RWJBarnabas to buy Christ Hospital and Hoboken University Medical Center
RWJBarnabas, one of the state’s largest health care systems, is set to acquire Christ Hospital and Hoboken University Medical Center in a deal that could drastically change the health care landscape in Hudson County.
FTC to Study the Impact of COPAs
The Federal Trade Commission issued orders to five health insurance companies and two health systems to provide information that will allow the agency to study the effects of certificates of public advantage (COPAs) on prices, quality, access, and innovation...
HPAE Calls for Oversight and Transparency as Englewood Health merges into Hackensack Meridian Health, NJ’s Largest Healthcare Corporation
Statement by Debbie White, RN and President regarding the announcement by Englewood Health on the merger into the Hackensack Meridian Health System
Englewood Medical, one of last independents in region, to merge with Hackensack Meridian
A partnership between Hackensack Meridian Health and St. Joseph's Health announced Wednesday will focus on cancer care Alexis Shanes, North Jersey Record
Trinitas signs LOI with RWJBarnabas Health to join system
Trinitas Regional Medical Center and RWJBarnabas Health announced on Thursday it has signed a Letter of Intent (LOI)...
Report: 3 in 4 hospital markets are now ‘highly concentrated’
Nearly 3 in 4 hospital markets around the U.S. are "highly concentrated," according to a new Healthy Marketplace Index report by the Health Care Cost Institute (HCCI).
Judge OKs Virtua acquisition of Lourdes Health and its hospitals
Judge Paula Dow issued a court order approving the proposed transaction Tuesday morning following a brief hearing at the Olde Historic Courthouse in Mount Holly that featured no objections. MOUNT HOLLY — A Superior Court judge has given the green
NJ AG recommends Virtua-Lourdes deal move forward
The proposed deal calls for Virtua to acquire Lourdes and its hospitals, Lourdes Medical Center of Burlington County in Willingboro and Our Lady of Lourdes in Camden, as well as Lourdes’ nursing school, medical associates and cardiology offices. TRENTON —
One of N.J.’s largest hospital chains looking to expand its turf with another big merger
Taken from NJ.com By Susan K. Livio March 21, 2019 Trinitas Regional Medical Center in Elizabeth is in confidential negotiations to join one of the state’s largest hospital systems, continuing a decade-long frenzy of mergers in New Jersey’s fierce healthcare market,
Hospital Mergers Improve Health? Evidence Shows the Opposite
Many things affect your health. Genetics. Lifestyle. Modern medicine. The environment in which you live and work.
Lourdes Medical Center in Willingboro could become behavioral health, drug treatment hospital
The company’s future plan for the 173-bed Willingboro hospital was revealed in documents filed with the New Jersey Attorney General’s Office as part of the agency’s ongoing review of the proposed merger between the two South Jersey health care systems.
Proposed Virtua-Lourdes merger to proceed without Certificate of Need
Virtua announced in June it signed a definitive agreement with Lourdes’ parent company, Maxis, to acquire Lourdes and its hospitals Lourdes Medical Center of Burlington County in Willingboro and Our Lady of Lourdes in Camden.
Hackensack Meridian Health, Carrier Clinic merger: Projects announced throughout NJ
The merger of Hackensack Meridian Health and Carrier Clinic is official, and executives already have plans underway for several behavioral health projects throughout the region.
The Health 202: House Democrats want more aggressive scrutiny of health-care mergers
Add “hospital consolidation” to the list of health-care problems on which Democrats want to pressure the Trump administration once they take control of the House in January.
$60M in investments could save doomed hospital, bring 300 new jobs
A new name. Millions in investments. Major renovations. New services. Some 300 new employees. Will it be enough to turn around an ailing, nearly 100-year-old hospital in rural South Jersey?
When Hospitals Merge to Save Money, Patients Often Pay More
The nation’s hospitals have been merging at a rapid pace for a decade, forming powerful organizations that influence nearly every health care decision consumers make.
Testimony of Patrice Sharkey of HPAE Local 5142 on Transfer of Ownership of The Memorial Hospital of Salem County, November 8, 2018
Hello, my name is Patrice Sharkey and I am a nurse at Salem Hospital and a member of HPAE Local 5142, which represents 110 nurses at Memorial Hospital of Salem County.
Renowned psychiatric hospital acquired by N.J.’s largest hospital chain
Carrier Clinic, a renowned, century-old psychiatric facility in Somerset County, will merge with Hackensack Meridian Health, the largest hospital chain and healthcare provider in New Jersey...
How Do Healthcare Mergers and Acquisitions Impact Patients?
Healthcare merger and acquisition deals impact patient access to care and care costs, although its up to debate whether it is for better or for worse.
Virtua to Acquire The Lourdes Health System
Taken from the TapInto Camden, June 5, 2018 Camden, NJ—Virtua Health has signed an agreement to acquire Lourdes Health System from Trinity Health, including Our Lady of Lourdes Medical Center in Camden. The boards of Virtua Health and Maxis Health System, an
Health Care Antitrust Enforcement Remains a Top Priority for New FTC Commissioners
On April 27, 2018, the United States Senate confirmed President Trump’s five nominees for Commissioners of the Federal Trade Commission (FTC).
New Owner Eager to Take Over Struggling South Jersey Hospital
South Jersey leaders are cautiously optimistic about the plans of a healthcare facility group to revitalize a long-struggling Salem County hospital.
N.J. largest hospital chain’s next acquisition target is a renowned mental health center
Taken from NJ.com, March 15, 2018 Susan K. Livio Looking to expand its vast holdings in New Jersey to include more addiction treatment and mental health services, Hackensack Meridian Health announced Thursday it was exploring a partnership with Carrier Clinic
Two N.J. hospital chains will explore a merger
Two south Jersey hospital chains announced Thursday they are exploring a merger, a deal that would make them one of the most formidable health care networks in the outer-Philadelphia region.
Saint Peter’s, RWJBarnabas ‘informally’ exploring merger
The trend of big health care systems expanding through mergers should continue this year, and one of the big ones could involve Saint Peter’s University Hospital in New Brunswick and RWJBarnabas Health.
Hackensack Meridian acquires another hospital and is now N.J.’s largest chain
Hackensack Meridian Health Wednesday announced it now owns JFK Medical Center in Edison, a deal that creates the largest hospital chain in New Jersey.
Sale of Meadowlands Hospital Receives Final Approval
The state has approved the sale of Meadowlands Hospital Medical Center, the Secaucus hospital where admissions have plummeted under private ownership, to a multimillionaire real-estate developer who owns a Bergen County surgical center.
Cooper Calls Off Purchase of Lourdes Health System
Cooper University Health Care said Friday it "will no longer pursue the acquisition" of Our Lady of Lourdes Medical Center and other assets of a Catholic-run health system.
HPAE Raises Concerns About HMH-JFK Merger
Last night a dozen HPAE members and staff attended a public hearing on the affiliation of JFK Medical Center with Hackensack Meridian Health (HMH). If the merger goes through, HMH will own 15 hospitals in the state of New Jersey.
Another merger is creating N.J.’s 4th largest hospital chain
Cooper University Health announced Thursday it plans to acquire three Catholic hospitals in central and south Jersey, creating the fourth largest healthcare chain in a state in which mergers have become routine business.
Another N.J. Hospital Merger is Complete as JFK Joins Large Chain
JFK Health in Edison, one of the last few remaining independent hospitals in New Jersey, will merge with one of the largest health provider chains in the state, according to an announcement by top officials at both nonprofit entities on
Penn Medicine to Finalize Merger With Princeton HealthCare System
The University of Pennsylvania Medicine is about to add its first New Jersey member – Princeton HealthCare System.
Moody’s: NJ hospitals face credit pressure from M&A, reduced subsidies
From Becker’s Hospital CFO Increased competition and lower state subsidies for charity care are putting pressure on nonprofit hospitals in New Jersey, according to a recent report from Moody’s Investors Service. Increased healthcare consolidation has impacted hospitals across the nation, and
The Future of Health Care Mergers Under Trump
The proposed health insurance mega-merger between Anthem and Cignaheads to court on Monday, as the companies face off against a Justice Department seeking to block their $48 billion deal.
More NJ Hospitals Merge: Trying To Improve Health — And Financial Stability
A number of forces, not least Obamacare, are prompting hospitals to consolidate. But will some communities lose out in the new healthcare landscape?
FTC wins appeal to halt Penn State Hershey/PinnacleHealth merger
A federal appeals court decision Tuesday pausing Penn State Hershey (Pa.) Medical Center's merger with PinnacleHealth System has placed the Federal Trade Commission's hospital antitrust review program back on stable ground after a couple concerning losses.
HPAE Calls for Protections in Merger of Hackensack and Meridian Health Systems
HPAE members testifed at two public hearings held yesterday to review the proposed merger of the Hackensack University Health Network and Meridian Health. While supporting the pending merger of Hackensack and Meridian, they urged the New Jersey Attorney General
HPAE Locals to Participate in May 4th Hackensack-Meridian Merger Hearing
On May 4, public hearings will be held in Hackensack, NJ and Neptune, NJ to review the Hackensack-Meridian merger. New Jersey’s Attorney General is required to schedule hearings where the public can testify about the merger. HPAE leaders from Jersey
HPAE Local Leaders Meet to Develop United Strategy Toward Meridian-Hackensack Merger
With the merger of Meridian Health and Hackensack University Health Network drawing closer, leaders of the four HPAE locals who will be dealing with the new, mega health system met recently to discuss a united strategy for the merger
Merger With Hackensack Health System Completed
Palisades Medical Center and The Harborage are now officially part of the Hackensack Health System. Palisades Medical Center will be called HackensackUMC Palisades. HPAE has issued a press release on the merger, including the following comment from Local 5030 President Michele
New era begins at Palisades Medical Center as part of Hackensack’s network
From The Record HackensackUMC Palisades, as it will now be known, will become a fully owned part of the system that includes the flagship Hackensack University Medical Center, two jointly owned hospitals in Westwood and Montclair, and the affiliated Englewood
Local 5030 Member Testifies at Public Hearing on Hackensack-Palisades Hospital Merger
At a public hearing before the Office of the NJ Attorney General, held on December 3, Local 5030 VP Zahia Zhort spoke in support, with conditions, of the proposed affiliation agreement between Hackensack University Health Network (HUHN) and Palisades
Thats all, folks - no more news!
- Impact of Hospital Mergers
- Merger Laws and Regulations
- Merger Glossary
- New Jersey Open Records Act Request Form
- Cooper University Health and Cape Regional Health Merger
- Capital Health System and Trinity Health Saint Francis Medical Center Merger
- Salem Medical Center and Inspira Health Network Merger
- Prospect East Orange General Hospital May Be Purchased By EOH Acquisition Group, LLC
- CentraState Health System and Atlantic Health System Merger
- Einstein Healthcare Network and Jefferson University Hospitals Merger
- Trinitas Health/Trinitas Regional Medical Center and RWJBarnabas Health Merger
- St. Peter’s Healthcare System and RWJBarnabas Health Merger
- Englewood Health and Hackensack Meridian Health Merger
- Virtua Health System and Lourdes (Trinity Health) Hospitals Merger
- Carrier Clinic And Hackensack Meridian Health Merger
- Community Healthcare Associates' Purchase of Memorial Hospital of Salem County
- JFK Health System And Hackensack Meridian Health Merger
- Cooper Health System And Trinity Health Hospitals Merger
- Meadowlands Hospital Medical Center Bought By Real Estate Developer Yan Moshe
- Thomas Jefferson University-Kennedy Health System Merger
- Hackensack University Health Network and Meridian Health Merger
- Saint Michael's Medical Center Bought by Prime Healthcare Services, Inc.
- East Orange Hospital Bought by Prospect Medical Holdings
- Robert Wood Johnson Health Care Corporation and Barnabas Health, Inc.
- RWJ Barnabas Health and Rutgers Proposed Partnership
- Palisades Medical Center and Hackensack University Health Network Merger
- Raritan Bay Medical Centers and Meridian Health Merger
- Hackettstown Regional Medical Center Bought by Atlantic Health System, Inc.
No upcoming events at this time.