JAMESTOWN — In something of a surprise announcement, the parent company of Big South Fork Medical Center announced Wednesday, Jan. 31, that it has reached an agreement to purchase the Tennova hospital here from Community Health Systems.
Rennova Health, Inc., the Palm Beach, Fla.-based company that reopened the Oneida hospital as Big South Fork Medical Center last year, said it has entered into a definitive asset purchase agreement to acquire the acute care hospital in Jamestown. The transaction is expected to close in the second quarter of this year — between April and June.
The Jamestown hospital is somewhat bigger than the Oneida hospital, featuring 85 beds in a 90,000 sq. ft. facility on an eight-acre campus. The fully-operational hospital includes an emergency department, radiology department, surgical center and a wound care and hyperbaric center.
“This acquisition further demonstrates our commitment to expanding Rennova’s rural hospital model to provide necessary series to patients while securing more predictable recurring revenues,” said Seamus Logan, Rennova’s CEO. “This hospital is approximately 38 miles from our current hospital in Oneida and will benefit by receiving patients from Oneida that require operations and treatment not provided there. The synergy of management and services in a close geographic location creates numerous efficiencies for Rennova and will allow us to support a greater number of health care providers and residents in the local area.”
Rennova is a diagnostics and medical software company. It launched a rural hospital division when it purchased the Scott County hospital from Pioneer Health Services last year. The Oneida hospital was officially opened under Rennova’s ownership in August 2017.