Innovative Partnership Offers New Resources for Hospitals
(St. Louis) February 21, 2011 – Ascension Health and Oak Hill Capital Partners (Oak Hill Capital) have signed an agreement to form Ascension Health Care Network (AHCN), a joint venture that will provide an alternative funding source for the acquisition of Catholic hospitals and other healthcare provider entities. AHCN will offer these entities access to financial, operational and clinical resources. The terms of the transaction are confidential.
“We are enthusiastic about this partnership and look forward to working with Ascension Health as this new venture moves forward,” said Charles Patton, a Partner at Oak Hill Capital. “Ascension Health is the nation’s third largest healthcare system, with an established track record of providing high standards of care through its strong network of more than 500 hospital affiliates and health facilities across the country, and for delivering leading patient outcomes across different specialties.”
Patton continued, “For example, among Ascension Health’s areas of particular strength is its commitment to clinical excellence. The neonatal mortality rates at Ascension Health hospitals are 89 percent lower than the national average, and the rate of birth trauma is 65 percent lower. Further, the rate for pressure ulcers at Ascension Health facilities is 94 percent lower than the national average – and these are just some of the many areas of exceptional care the hospital system provides.”
Dr. Anthony R. Tersigni, President and CEO of Ascension Health, said, “Hospitals across the country are facing many difficulties in the current economic climate – including evolving clinical requirements and the need to keep pace with technological innovations. These challenges ring true for many Catholic hospitals. This agreement with Oak Hill Capital will provide an innovative solution for those hospitals to move forward with the resources and expertise they need to survive and thrive. In addition, they’ll be able to maintain their Catholic identity.”
Sr. Maureen McGuire, DC, Senior Vice President of Mission Integration for Ascension Health, said, “We are fortunate to have experience in coupling efficient operations with outstanding clinical outcomes in person-centered care and can share a unique blend of experts, resources and best practices with other hospitals. A recent Thomson Reuters study showed that people receive higher quality care at Catholic hospitals. By forming Ascension Health Care Network, we are providing an innovative, alternative funding source to help Catholic providers to continue their healing mission.”
Leo P. Brideau, FACHE, will serve as President and CEO of the new venture. Brideau was formerly President and CEO of Columbia St. Mary’s, Milwaukee, and also served as the Wisconsin/Missouri Ministry Market Leader for Ascension Health.
About Ascension Health
Ascension Health is transforming healthcare by providing the highest quality care to all, with special attention to those who are poor and vulnerable. Ascension Health, which provided more than $1 billion in care of persons who are poor and community benefit last year, is the nation’s largest Catholic and nonprofit health system. Its Mission-focused Health Ministries employ 113,000 associates serving in more than 500 locations in 20 states and the District of Columbia.
About Oak Hill Capital Partners
Oak Hill Capital Partners is a private equity firm with more than $8.2 billion of committed capital from leading entrepreneurs, endowments, foundations, corporations, pension funds and global financial institutions. Over a period of more than 24 years, the professionals at Oak Hill Capital Partners and its predecessors have invested in more than 60 significant private equity transactions. Oak Hill Capital Partners is one of several Oak Hill partnerships, each of which has a dedicated and independent management team. These Oak Hill partnerships comprise over $30 billion of investment capital across multiple asset classes. For more information about Oak Hill Capital Partners, please visit www.oakhillcapital.com.
Ascension Health Contact:
Trudy Hamilton
314.733.8207
thamilton@ascensionhealth.org
Oak Hill Capital Contacts:
Lin-Hua Wu
415-684-9418
lin-wu@kekst.com
or
Sofia Mata-Leclerc
415-684-9419
sofia-mata@kekst.com
