A Medical Device Daily
MedCath (Charlotte, North Carolina) reported that its MedCath Partners Division has entered into a new strategic relationship with St. Francis HealthCare (Wilmington, Delaware). MedCath is participating in the venture to manage the catherization laboratories of St. Francis Healthcare Services.
The majority of the venture is owned by St. Francis Healthcare Services, and the balance is owned by local physicians and MedCath Partners. The venture commenced operations on July 30.
"This venture will allow us to update our cardiac catheterization laboratories and continue to implement our program for increasing the level and quality of services available to our patients," said Clarence "Ted" LaLiberty, president/CEO of St. Francis Healthcare Services. "We are particularly excited about the involvement of community cardiologists and MedCath who bring their experience and expertise to assist us in implementing clinical improvements and operating efficiencies. We view this type of arrangement as important to our success. It will assist us in fulfilling our charitable mission as well as our goal of enhancing our level of care in order to make our facility more attractive to patients who might otherwise leave the state to obtain cardiac services."
MedCath will make a capital investment of $540,000 in the venture and the other members will make pro rata capital contributions as well. MedCath anticipates that this venture will add 2 cents to earnings per diluted share annually.
This is the second venture reported by MedCath Partners in just over a month. In June, MedCath Partners announced a new venture called Coastal Carolina Heart a joint venture with New Hanover Regional Medical (Wilmington North Carolina) and local physicians. The joint venture owns and operates the existing Wilmington Heart Center, an outpatient cardiac catheterization laboratory facility, and also provides management services to New Hanover's inpatient catheterization laboratories.
St. Francis was founded in 1924, and is the only Catholic hospital in Delaware. MedCath is a healthcare provider focused on high acuity services with the diagnosis and treatment of cardiovascular disease being a primary service offering.