Physician-owned Kentuckiana Medical Center shuttering after 10-year financial battle: 7 key details

The physician-owned Clarksville, Ind.-based Kentuckiana Medical Center is closing in April after facing a decade of financial woes, according to the Courier-Journal.

Advertisement

The key details to know:

1. Kentuckiana Medical Center employees were notified this week of the facility’s plan to close. About 200 employees will be affected by the closure.

2. A letter from Kentuckiana Medical Center Chief Executive Michael Phillips said the emplyees’ termination “is expected to be permanent and no bumping rights exist.”

3. Officials at the facility attributed its early financial struggles from having too few beds and not enough operating rooms to generate revenue.

4. Kentuckiana lost $10.3 million after filing for bankruptcy protection in September 2010.

5. The facility opened in 2009 with a staff of 175 employees and a team of 30 physicians who invested in and practiced at the facility.

6. Eli Hallal, MD, one of the physician-investors, attempted to refinance Kentuckiana’s debt and searched for new investors to underwrite an expansion.

7. Dr. Hallal and a team of lawyers asked for financial assistance from Clark County commissioners, but officials were split on using public funds to support a private business.

More articles on transactions and valuation:
Wisconsin Village Board approves Advocate Aurora Health’s $228M medical center, office building — 4 insights
U of Miami Health System building 225K-sq-ft. outpatient healthcare facility with surgery center — 4 insights
4 key insights on ASC startup costs

Advertisement

Next Up in ASC Transactions & Valuation Issues

  • From AI-driven revenue cycle strategy to payer negotiations, staffing strain and surgical workflow redesign, ASC leaders told Becker’s the biggest…

  • Lansing, Mich.-based UM Health-Sparrow plans to build a $60 million ASC.  The outpatient facility will include four operating rooms at…

  • Health systems are doubling down on their outpatient strategy, funneling more than $200 million into new ASCs and outpatient campuses…

Advertisement

Comments are closed.