The University of Louisville has completed its acquisition of KentuckyOne Health’s Louisville-area portfolio, ending two years of uncertainty about the future of Jewish Hospital and the other health care assets.
The transition of ownership from KentuckyOne’s parent company, CommonSpirit Health, to the university’s UofL Health affiliate is effective Nov. 1. Some 5,500 former KentuckyOne employees have now joined UofL and UofL Health, which has assumed management of the assets.
“This is an exciting and historic day for the University of Louisville,” said UofL President Neeli Bendapudi. “This acquisition enables us to ensure access to quality health care for our entire community, and it strengthens our School of Medicine and our Health Sciences Center campus by allowing us to offer more training opportunities for our students and more research capacity for our faculty. It also saves thousands of jobs that could have been lost if any of these facilities closed.”
UofL is acquiring the KentuckyOne assets with the promise of a critical $50 million, 20-year loan from the Kentucky Economic Development Finance Authority. Half of that loan would be forgiven if the university meets certain criteria in terms of employment or service to underserved areas. The Jewish Heritage Fund for Excellence and the Jewish Hospital and St. Mary’s Foundation also are investing in the deal, contributing $10 million and $40 million, respectively.
“We owe such a debt of gratitude to our partners—Gov. Matt Bevin, the leadership of the House and Senate and these foundations—for making this transaction a reality,” Bendapudi said. She also thanked the Sisters of Charity of Nazareth and leaders of the local Jewish community for the legacy of care they have created over more than a century of work in the Louisville community.
The purchase includes:
· Jewish Hospital, including the Outpatient Center, Rudd Heart and Lung Center, offices and parking garages;
· Frazier Rehabilitation Institute;
· Sts. Mary and Elizabeth Hospital;
· Our Lady of Peace;
· Jewish Hospital Shelbyville;
· Jewish Medical Centers East, Northeast, South and Southwest;
· Physicians groups affiliated with KentuckyOne.
All of the assets will be rebranded under the UofL Health umbrella.
“Today marks an important moment for the future of health care in the Louisville community, and I want to thank everyone who contributed to the successful completion of this transition,” said Larry Schumacher, Senior Vice President of Operations, Southeast Division, CommonSpirit Health. “As we transfer the ownership and operations to UofL Health, I am optimistic that these facilities will continue their legacy of excellence and innovation led by the outstanding employees and providers.”