Virtua Closes on Lourdes Health System Buy
The Lourdes Health System includes Our Lady of Lourdes Medical Center in Camden, NJ; Lourdes Medical Center of Burlington County, Lourdes Medical Associates, and Lourdes Cardiology Services—all of which are now part of Virtua.
MARLTON, NJ—Locally-based health system Virtua got significantly larger on Monday when it closed on the purchase of the Lourdes Health System that strengthens its presence in South New Jersey.
The merger was first announced in June 2018 when the boards of Virtua and Pennsylvania-based Maxis Health System—the parent company of Lourdes and a subsidiary of Trinity Health—signed a definitive agreement to move forward with the acquisition. The transaction was finalized on Monday.
The Lourdes Health System includes Our Lady of Lourdes Medical Center in Camden, NJ; Lourdes Medical Center of Burlington County, Lourdes Medical Associates, and Lourdes Cardiology Services—all of which are now part of Virtua.
“Today is the culmination of many months of planning and preparation, and now we can begin the process of building a better, healthier future for the people of South Jersey,” said Dennis W. Pullin, FACHE, president and CEO of Virtua. “The best interest of the community has been the driving force behind this process and it will be our cornerstone moving forward.”
The Office of the Attorney General of New Jersey, in consultation with the New Jersey Department of Health, issued its recommendation on June 10 in favor of the transaction to Judge Paula Dow of the Superior Court of New Jersey, who subsequently approved the acquisition.
Now united, the combined health system includes 280 care locations and 100-plus buildings. The combined health care provider has more than 13,000 employees, including 2,850 clinicians. Looking forward, Virtua expects to deliver approximately 8,600 babies, treat 325,000 visitors to the emergency room, and schedule more than 600,000 outpatient appointments annually.
“Although we may have grown in scope and scale, Virtua’s core principles remain the same,” Pullin said. “We look forward to welcoming our new colleagues, caring for our new patients, and being a true partner in health well into the future.”
Virtua reportedly will pay $60 million to acquire Lourdes, minus its accounts receivables, which are to be applied towards Lourdes’ debt of $223 million, according to the Philadelphia Business Journal. Virtua has committed making at least $205 million in capital investments at Lourdes facilities, according to the newspaper.