A planned merger between Bolivar’s Citizens Memorial Hospital and Springfield’s CoxHealth has been canceled.
The two healthcare organizations announced today they’ve decided the timing is not right for the partnership.
CMH and Cox said back in October they had intended to join operations. CoxHealth was to invest $50 million for CMH. They were to enter a due diligence period to explore details of one another’s business practices before reaching a final agreement, which was projected for mid-2017.
But on Friday, both CMS and Cox released joint statements stating they will not continue pursuing an affiliation agreement.
“We have decided that the timing is not right for this type of relationship,” said Donald J. Babb, chief executive officer/executive director of Citizens Memorial Hospital and Citizens Memorial Health Care Foundation. He added, ““Our two entities are closer than ever and we anticipate a close working relationship going forward.”
Babb points to a strong year for CMH, with numerous building projects and strategic planning opportunities that will grow the company moving forward. It recently signed a five-year contract with Cox Air Care to provide emergency air services for the hospital.
“CMH and CoxHealth have maintained a positive working relationship for numerous years and we will continue to have a close relationship,” says Steve Edwards, president and Chief Executive Officer of CoxHealth. “We all have the same purpose in mind – to provide exceptional care to the patients we serve.”