Mayo Clinic Jack­sonville makes move to Ge­or­gia

Modern Healthcare - - LATE NEWS -

Mayo Clinic Jack­sonville (Fla.) will es­tab­lish its first pres­ence in Ge­or­gia with a deal to ac­quire Satilla Re­gional Med­i­cal Cen­ter, Way­cross. The agree­ment in­cludes no cash up­front, and Mayo Clinic will as­sume Satilla’s $51 mil­lion in cash re­serves for cap­i­tal ex­pen­di­tures, ac­cord­ing to a re­port from Ge­or­gia’s at­tor­ney gen­eral’s of­fice. Mayo Clinic will also take a ma­jor­ity of seats on Satilla’s board of di­rec­tors. Satilla Health Ser­vices, which is prin­ci­pally 187-bed Satilla Re­gional Med­i­cal Cen­ter, will be re­named Mayo Clinic Health Sys­tem in Way­cross. Dr. Ken­neth Calamia, a Mayo Clinic physi­cian who will serve as CEO at Way­cross, said, “physi­cian re­cruit­ment is cer­tainly one of the things we’ll be able to im­prove with the in­te­gra­tion.” Robert Trimm, Satilla’s cur­rent pres­i­dent and CEO, will be­come chief ad­min­is­tra­tive of­fi­cer. Trimm said the merger al­lows Satilla to draw on Mayo Clinic’s knowl­edge amid a dif­fi­cult health­care en­vi­ron­ment, not­ing that the or­ga­ni­za­tion’s “cul­ture and the com­mit­ments and the prin­ci­ples and the val­ues fit to­gether very well.” Satilla be­gan ex­plor­ing the idea of a takeover in 2009 af­ter re­ceiv­ing an un­so­licited bid from an undis­closed suitor, ac­cord­ing to the at­tor­ney gen­eral’s re­port. An Ernst & Young re­port ob­tained by Mayo found that the takeover will yield $52.5 mil­lion to $63.8 mil­lion in in­cre­men­tal op­er­a­tional syn­er­gies over a five-year pe­riod, ac­cord­ing to the at­tor­ney gen­eral’s re­port.

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