Deal will raise capital, provide improvements

Alliance Health Partners LLC, owner of Tri-Lakes Medical Center, has reached a definitive agreement to partner with Health Management Associates Inc. Under the joint venture agreement, a subsidiary of Health Management will acquire a controlling interest of Alliance Health Partners and become the managing partner with the local physician-owners of Tri-Lakes.

The transaction is expected to be completed on or before June 1.

“Through our partnership with Health Management, Tri-Lakes will remain one of 165 physician-owned hospitals in the country,” said Mike Havens, M.D., Chief Medical Officer of Tri-Lakes Medical Center. “This partnership will bring remarkable opportunities to both our hospital and community through proven management, technology and physicians.”

Health Management Associates, Inc., based in Naples, Florida, currently operates 59 hospitals with approximately 8,900 licensed beds in non-urban communities throughout the United States.

Tri-Lakes Medical Center will become the thirteenth hospital in the Mississippi franchise.

“We are very pleased to have the opportunity to partner with the medical staff at Tri-Lakes Medical Center in serving the Batesville community, while broadening our Mississippi network of hospitals,” said Gary D. Newsome, President and Chief Executive Officer of Health Management.

“With our existing whole-hospital joint venture experience, our current presence in Mississippi and our operational expertise in managing non-urban medical centers, we believe we are uniquely situated to offer the processes, capital and expertise necessary to fulfill Tri-Lakes’ mission of delivering superior health care to the residents of Batesville and the greater Panola County area.“

According to Greg Cantrell, Administrator and Managing Partner at Tri-Lakes, “Immediately the partnership will provide better benefits for our employees, a state-of-the-art financial and electronic medical record system, group purchasing strength and physician recruiting support.”

Alliance Health Partners LLC acquired Tri-Lakes Medical Center in September 2009, without its prior liabilities of bankruptcy and management issues.

“During the 18 months of operations with local physician-ownership, the hospital has improved quality while operating effectively and efficiently,” said Havens.

“From the beginning, we structured the company to allow for new investors (Health Management) and more local physician-owners. This transaction is a significant move in the evolution of the new Tri-Lakes that will strengthen the hospital and quality of patient care for everyone in the community,” said Cantrell.

“We are excited about taking our hospital to a new level of achievement, specifically through better emergency services, more technology and expanded sub-specialties,” said Havens.
Health Management Associates, Inc. is listed as HMA on the New York Stock Exchange.
For more information, contact Madison Drake, Tri-Lakes Medical Center Communications Manager, at (662) 712-2365 or madison.drake@trilakesmc.com.