Care New England & Partners To Move Forward With Merger

PROVIDENCE, RI—Care New England said Thursday its plans to merge with Boston-based Partners Healthcare are moving forward. The next step, a "definitive agreement," will include an outline of the "details and plans for the actual transaction," the company said.

According to the press release, Care New England operates Butler Hospital, Kent Hospital, Memorial Hospital of Rhode Island, Women & Infants Hospital of Rhode Island, the VNA of Care New England, The Providence Center, and Integra, a certified accountable care organization (ACO) created in collaboration with the Rhode Island Primary Care Physicians Corporation.

The deal with Partners includes all the Care New England hospitals except Memorial, which was recently closed (except for some clinic services which are continuing on the hospital campus).

The connection with Brown will continue, Care New England said.

Recently, Care New England was cool to a competing offer from Prospect Medical Holdings and Brown University. Spokesman Jim Beardsworth said the statement "represents their intention to acquire and split up the Care New England Health System – a process undertaken of their own independent action and interests."

Beardsworth said Care New England would continue negotiating with Partners. The exclusivity agreement with Partners will also continue.

"While we appreciate their interest in the future of health care in Rhode Island, we will move forward with the important process we have set upon in the best interest of both CNE and those we care for," he said. "To that end, CNE will proceed in our exclusive discussion with Partners as set forth in our letter of intent and we look forward to the next steps in that process."

Partners, a non-profit, was "founded by Brigham and Women’s Hospital and Massachusetts General Hospital," according to Care New England. "In addition to its two academic medical centers, the Partners system includes community and specialty hospitals, community health centers, a physician network, a managed care organization, home health and long-term care services, and other health-related entities. Partners is one of the nation’s leading biomedical research organizations and a principal teaching affiliate of Harvard Medical School."

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