Juniper Advisory’s work with Conemaugh Health System, a three-hospital, $515 million revenue health system headquartered in Johnstown, PA, was profiled in the HealthLeaders Media article “Hospital Consolidation Explained in One M&A Deal.” The article outlined Conemaugh’s recent signing of a letter of intent to join Duke LifePoint Healthcare, a joint venture between Duke University Health System and LifePoint Hospitals. Through interviews with Conemaugh’s CEO, Scott Becker, and Chairman and CEO of LifePoint Hospitals, William Carpenter, the profile explains not only the factors that drove Conemaugh to seek a partnership, but also goes on to outline why more deals of this sort should be expected.
“When we say we are dealing from a position of strength, we don’t think our financial performance was ever going to be as good as it is right now,” stated Scott Becker. “Our board has gone through a four-year strategic process where we are north of $1 billion in terms of gross revenues and north of $500 million net. That’s not small. We are the third-largest system in Western Pennsylvania.”
“The reality is we felt we needed to continue to grow and develop our marketplace with a clinical partner who will help us with evidence-based protocols and prepare for population health, and a financial partner who will bring us the strength to do the investments we need to do now and not in four or five years from now.”