Center City Healthcare resident program asset sale procedures approved

By Caroline Salls

Pittsburgh, July 22 – Center City Healthcare, LLC, which does business as Hahnemann University Hospital, received court approval of the bid procedures for the proposed sale of its resident program assets, according to an order filed Friday with the U.S. Bankruptcy Court for the District of Delaware.

Tower Health will serve as the stalking horse bidder for the resident program assets, agreeing to pay $7.5 million if it is the high bidder.

If Tower is not the high bidder, Center City will pay it a $225,000 break-up fee.

Under the procedures, competing bids are due by 4 p.m. ET on Aug. 5 and must at least equal the stalking horse bid amount, plus the amount of the break-up fee and a $100,000 minimum overbid.

An auction will be held on Aug. 7, if necessary, and the sale hearing is scheduled for Aug. 9.

Center City is a Philadelphia-based hospital operator. The company filed bankruptcy on June 30 under Chapter 11 case number 19-11466.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.