US-based hospital system Prime Healthcare Services has signed an agreement with Saint Joseph Mercy Health System (SJMHS) and Trinity Health to acquire St Joseph Mercy Port Huron hospital.
The hospital in located in Port Huron, Michigan.
Prime Healthcare committed an investment of $20m in capital improvements to the hospital and its operations over a three-year period, as part of the deal.
Prime Healthcare Services president Prem Reddy said: "We are excited to acquire St Joseph Mercy Port Huron and look forward to enhancing its services to the Port Huron community.
"We are committed to making hospitals successful by strengthening, building, investing and improving their programs and facilities."
According to Dr Reddy, the capital investments include a Tru Beam Linear Accelerator, subject to Certificate of Need (CON) approval.
Prime Healthcare will maintain an independent medical staff and local governing board for the hospital, as well as preserve the facility as an acute care hospital with an open and accessible emergency department.
SJMHS regional president Garry Faja said: "When Prime Healthcare expressed an interest in the hospital earlier this year, we determined that both parties shared a common vision for the future of the hospital’s healing mission that is in the best interest of its patients and employees."
The transaction is subject to completion of all due diligence and receipt of necessary regulatory and legal approvals.
Based in California, Prime Healthcare operates 29 acute care hospitals in nine states across the US.