Ascension to buy Tennessee hospital as part of a $1B investment deal
On Monday, Williamson Health, an independent hospital and patient care network in Tennessee, revealed that it intends to allow itself to be scooped up by Ascension Saint James, after seeking a suitable buyer for the last two years. The deal is worth nearly $1 billion.
The hospital added that its board has already approved the transaction, which now awaits county and state regulatory approval. If all goes smoothly, Williamson said the deal will be finalized in the “2027 or 2028 calendar years.”
Until then, nothing is expected to change. Williamson confirmed that it will continue to operate as it always does, as an independent patient care network that serves Central Tennessee.
“Ascension Saint Thomas is firmly supportive of who we are, how we operate and how we fulfill our important community-focused mission,” Williamson Health CEO Phil Mazzuca said in a statement. “Ascension’s intent is to support the strong culture and workforce we already have in place while also bringing much-needed capital to invest into our people, as well as our tools, technologies, facilities and services.”
“That was very important to the Board, particularly Ascension Saint Thomas’s leadership team’s appreciation of our talented, hardworking and compassionate employees and medical staff.”
The hospital said the decision came after vetting to ensure that it would be able to continue “serving the Williamson County community well into the future,” even after any potential merger or buyout was complete.
Dreams of independence dashed
Williamson Health Board Chairman Bo Butler added that Williamson “preferred to remain independent,” as was the intent of the Board when it began to explore its options to secure its future financially.
“At the same time, our fiduciary responsibility required that we look beyond our personal preferences to focus on ensuring that Williamson Health continues to lead the way, while strengthening our culture, clinical excellence and service to the community for generations to come,” he said. “Now, what started as a prospect that none of the trustees wanted to consider has turned into the possibility of a future filled with even greater promise from our joining with Ascension Saint Thomas.”
Butler was alluding to the fact that Williamson was in dire need of upgrades. The hospital said it would need an “infusion of capital of approximately $150 million over the next five years, with continued funding required thereafter,” to make those necessary improvements possible.
After exploring all other options—including a now-scrapped 10-year partnership agreement with Optum—the Board decided that joining a larger health system was its best option to ensure it was able to upgrade existing infrastructure and expand services to meet the needs of the local community.
The nearly $1 billion valuation of the deal includes the agreed-upon new investments from Ascension, Williamson confirmed.
Located in Williamson County, Tennessee, it employs more than 2,400 people across its 30 healthcare sites, the most notable being its flagship hospital, Williamson Medical Center.
Ascension operates 90 hospitals and dozens of patient care sites across 16 states. A Catholic, faith-based system, its national headquarters is in Missouri.
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