WILKES-BARRE — Health care facilities across the Commonwealth Health system are set to be purchased by the California-based nonprofit Tenor Health Foundation, according to an official statement released by Commonwealth Health on Friday evening.
“The transaction is subject to standard regulatory review and contingent on Tenor Health Foundation finalizing its funding,” the release states. “Once funding is secured, the transaction is expected to be completed soon thereafter in the fourth quarter this year.”
The system includes Wilkes-Barre General Hospital, as well as Regional Hospital of Scranton and Moses Taylor Hospital in Scranton. Many outpatient centers and clinics in Northeast Pennsylvania also belong to Commonwealth Health.
“We are delighted to announce the execution of the definitive agreement to bring the three Commonwealth Health hospitals into the Tenor Health Foundation family,” said Radha A. Savitala, chief executive officer of Tenor Health Foundation. “This acquisition exemplifies our organization’s commitment to preserve valuable healthcare resources — specifically in the most vulnerable communities. We are grateful to community leaders for engaging with us as well as the medical staff and hospital staff who continue to provide the much-needed services for these hospitals. We look forward to continuing to engage with all key stakeholders to ensure a seamless acquisition and transition.”
In August, a letter of intent was signed by Commonwealth Health and Tenor Health Foundation that foreshadowed Friday’s official announcement. An internal memo — which contained the details of that letter of intent — was sent by Wilkes-Barre General Hospital CEO Michael Clark and distributed to medical staff, hospital employees and the board of directors.
In response to the looming acquisition in August, the General Hospital Board of Directors released a statement, which included the following:
“We are certain that there are many potential partners for WBGH better equipped to not only maintain, but further improve our mission to serve this community. We are painfully aware that healthcare throughout the state and the country remains the single, most challenging task. However, the proffer from Tenor Health offers nothing in the near term nor the long term and may in fact, ultimately cause the demise of the hospital itself through the inevitable cannibalization of our resources in attempt to shore up other facilities and priorities of the parent entity.”
The release on Friday says that Tenor Health Foundation “was formed to identify, own, manage, and turn around financially challenged hospitals.”
Congressman’s statement
Following the acquisition’s announcement on Friday, U.S. Rep. Rob Bresnahan released the following statement:
“I am encouraged by this positive step toward ensuring continuity of care for our community,” Bresnahan said. “These hospitals are essential to Scranton and the broader region, not only as providers of critical health services, but as major employers and anchors of our local economy. My team and I will continue to work closely with all local, state, and federal leaders involved to help bring this agreement across the finish line and ensure that quality, accessible care remains available to everyone in Northeastern Pennsylvania.”
Bresnahan’s 8th congressional district includes much of Northeast Pennsylvania, including the cities of Wilkes-Barre and Scranton.
