Baptist Health, Tenet to form Alabama network
Baptist Health System and Tenet Healthcare Corp. have signed a definitive agreement to form a joint venture that will operate a healthcare network serving Birmingham and central Alabama. Under the deal, Tenet will be the majority partner and will manage the network’s operations.
The deal is part of a broad effort by Tenet to form networks with other providers that allow the company to expand its use of value-based insurance contracts.
The new company will unite Birm- ingham-based Baptist Health’s four hospitals—Princeton Baptist Medical Center, Birmingham; Citizens Baptist Medical Center, Talladega; Shelby Baptist Medical Center, Alabaster; and Walker Baptist Medical Center, Jasper—with Tenet’s Brookwood Medical Center in Birmingham. Together, the new system will have 77 outpatient and physician-office facilities, including clinics delivering primary and specialty care; 1,500 affiliated physicians and 7,300 employees.
The systems announced they were exploring an agreement last December, and the transaction is expected to be completed in the third quarter of 2015.