Georgia’s Newton Medical Center will join the Piedmont Healthcare network, the providers announced on May 21, forming the Piedmont Newton Hospital.
The hospital will become a subsidiary of Piedmont in an agreement expected to be finalized by Oct. 1, pending the completion of regulatory approvals.
Atlanta-based Piedmont is expected to enter into a 40-year lease of Newton’s physical assets, which are owned by the Hospital Authority of Newton County.
Financial details were not disclosed.
Piedmont, with five hospitals in its network, is gaining a 97-bed nonprofit hospital that has plans underway to expand its emergency department.
Piedmont is expected to continue the project and assume primary responsibility for the hospital’s outstanding bond debt, which is about $11.9 million, according to a report.
Kevin Brown, president and CEO of Piedmont Healthcare said Piedmont is gaining a partner that will be able to provide for investment in clinical services and other capital expenditures.
“All of this combined will make for a solid clinical facility for addressing the acute care needs of patients,” he said.