Letter of Intent Between Prospect Medical and CHA Partners, LLC
Prospect Medical Holdings, Inc. and CHA Partners, LLC (CHA) have signed a letter of intent for CHA to acquire Crozer Health. This acquisition will involve transitioning Crozer Health's hospitals back to not-for-profit status. This action formally begins the process necessary to complete a definitive agreement for the acquisition of Crozer Health. In this endeavor, CHA will be working closely with Healthcare Preferred Partners (HCPP), a firm with which it has a long-standing relationship.
CHA Partners, LLC is a healthcare organization founded in 2008 with the goal of preserving healthcare and jobs in the communities it serves. CHA has acquired five hospitals in New Jersey, each dedicated to providing exceptional care to local residents. CHA also owns and operates ambulatory surgery centers, medical office buildings, and skilled nursing/assisted living facilities. One of CHA’s notable achievements was successfully transitioning one of its hospitals back to a not-for-profit status and integrating it into a large regional healthcare network.
Healthcare Preferred Partners (HCPP), founded in 2018, brings over 25 years of experience in managing diverse healthcare systems. The firm specializes in providing consulting services for acquisitions, mergers, and consolidations. HCPP has a track record of engineering successful turnarounds in underserved urban areas.
Prospect and Crozer Health leadership will be working closely with CHA and HCPP over the next several months to complete the transfer of ownership. This process will involve due diligence, regulatory reviews, and obtaining all necessary approvals.
We believe this is a positive step for our physicians, employees and the communities we serve, and will help secure Crozer Health’s future as a critical healthcare provider in Delaware County.
Because this is very early in the process and the negotiations are confidential, we are unable to provide any additional information at this time.